Demartini Corporation is conducting a time-driven activity-based costing study in its Customer Support Department. The company has provided the following data to aid in that study:Demartini CorporationCustomer Support DepartmentData InputsResource Data: Number of employees 21 Average salary per employee$38,700 Practical capacity per employee (in minutes) 90,000 ?Activity Data:Receiving CallsResolving IssuesSettling DisputesMinutes per unit of the activity142442?Cost Object Data:All CustomersNumber of calls received34,130Number of issues resolved22,680Number of disputes settled630?On the Capacity Analysis report in time-driven activity-based costing, the "impact on expenses of matching capacity with demand" would be closest to:
A. ($387,000)
B. ($309,600)
C. ($348,300)
D. ($361,802)
Answer: C
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