Tableco will manufacture two types of tables in the coming year-square tables and round tables. Tableco is considering introducing an activity-based costing system. Below is each activity, its cost and related activity driver:

Activity	Cost $	Activity driver
Machine setups	500 000	Number of setups
Materials handling	96 000	Number of parts
Cutting	48 000	Number of parts
Assembly	2100000	Direct labour hours
Finishing	350 000	Number of units

The level of activity estimated for the year is:

	Square	Round
Units to be produced	25 000	10 000
Number of setups	100	25
Number of parts per unit	32	16
Direct labour hours per unit	4	2

Total overhead cost allocated to Round tables in respect to Assembly if activity costing would be:

Select one:

$400000

$525000

$350000

$437500