Wings Co. budgeted $563,000 manufacturing direct wages, 2,000 direct labor hours, and had the following manufacturing overhead:

Overhead Cost Pool	Budgeted Overhead Cost			Budgeted Level for Cost Driver		Overhead Cost Driver
Materials handling	$	160,000		4,000	pounds	Weight of materials
Machine setup		18,800		470	setups	Number of setups
Machine repair		1,860		31,000	machine hours	Machine hours
Inspections		14,400		240	inspections	Number of inspections

Requirements for Job #971 which manufactured 4 units of product:

Direct labor	25	hours
Direct materials	210	pounds
Machine setup	40	setups
Machine hours	15,800	machine hours
Inspections	20	inspections

Using ABC, the materials handling overhead cost assigned to Job #971 is:

Multiple Choice

• $3,250.

• $1,200.

• $8,400.

• $948.

• $1,600.