QUESTION 7 Sand Castle Manufacturing produces concrete yard art. 2,000 concrete seahorses were produced in a recent production run. The run required 1,000 machine hours, and also required five "set-ups" of mixing equipment. Final inspection required 50 hours of inspection activity. Estimated overhead is estimated at $30 per machine hour, plus $2,750 per "set- up" and $25 per inspection hour. Direct materials and direct labor total $75 per seahorse. Apply activity-based costing and determine the amount assigned to a concrete seahorse. O A. $86.8 B. $97.5 O C. $75.6 O D. $100 E. none of the above