Spendlove Corporation has provided the following data from its activity-based costing system:

Activity Cost Pool Total Cost Total Activity

Assembly --------------------------$1,114,920 57,000 machine hours

Processing orders --------------- $47,016 1,800 orders

Inspection -------------------------- $107,328 1,560 inspection hours

The company makes 430 units of product S78N a year, requiring a total of 1,120 machine-hours, 40 orders, and 30 inspection-hours per year. The product's direct materials cost is $49.81 per unit and its direct labor cost is $12.34 per unit. The product sells for $129.90 per unit.

According to the activity-based costing system, the product margin for product S78N is:

	a.	$4,116.50
	b.	$29,132.50
	c.	$6,180.50
	d.	$5,161.30