Three Company uses a process organized into two service or support departments (Support 1 and Support 2) and two producing departments (Production 1 and Production 2). Budgeted data for the four departments for the month of January are as follows.

	Support Departments			Producing Departments
	Support 1	Support 2		Production 1	Production 2
Overhead	$100,000	$120,000		$90,000	$80,000
Number of employees		100		300	100
Machine hours	2,000			4,000	4,000

Overhead cost for the Support 1 Department is allocated based on number of employees. Overhead cost for the Support 2 Department is allocated based on machine hours.

Note: Round all calculations to two decimal points and all dollar amounts to the nearest dollar.

Determine the total overhead cost for Production 1 Department using the direct method to allocate support department costs.

		$198,000
		$224,000
		$230,000
		$225,000