Xuantong Furniture Pty Ltd plans to manufacture two lines of chairs in the coming year-lounge and patio. The company is considering introducing an activity-based costing system. Given below are each activity, its cost and its related activity driver. Activity Material setups Material handling Cutting Assembly Finishing Cost $150,000 180,000 620,000 550.000 300,000 Activity Driver Number of setups Number of parts Number of parts Direct labour hours Number of units The level of activity for the year is: Lounge Units to be produced 10,000 Number of setups 30 Number of parts per unit 10 Direct labour hours per unit 7 Patio 5,000 20 6 4 Under an activity-based costing system, what is the company's total cost of patio chairs for the year? O a. $660,000 O b. $890,000 O c. None of the answers. O d. $460,000 Oe $510,600