Skiver, Inc., manufactures and sells two products: Product K5 and Product J2. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below: Expected ProductionDirect Labor-Hours Per UnitTotal Direct Labor-HoursProduct K58009.07,200Product J21,00012.012,000Total direct labor-hours  19,200The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity:  EstimatedExpected ActivityActivity Cost PoolsActivity MeasuresOverhead CostProduct K5Product J2TotalLabor-relatedDLHs$682,7527,20012,00019,200Machine setupssetups 17,5565006001,100Order sizeMHs 721,3424,9005,20010,100  $1,421,650   The total overhead applied to Product K5 under

activity-based costing is closest to: (Round your intermediate calculations to 2 decimal places.)

A. $349,960
B. $613,970
C. $533,088
D. $631,848


Answer: B

Business

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