Running Shorts Co. makes two products: A and B. In the folding department, budgeted information is as follows:

Budgeted indirect labor costs in the workshop: $150,000

Budgeted depreciation expenses of equipment: $50,000

Budgeted direct labor costs: $100,000

Budgeted units produced: 50,000

The company allocates indirect labor costs based on direct labor costs and allocates depreciation expenses of equipment based on units produced. The actual direct labor costs for product A are $60,000 and 40,000 units of product A are produced. How much is the manufacturing overhead of product A in the folding department?

120,000

40,000

130,000

90,000