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Dartmouth Corporation manufactures two models of office chairs, a standard and a deluxe model. The...

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Accounting

Dartmouth Corporation manufactures two models of office chairs, a standard and a deluxe model. The following activity and cost information has been compiled:

Number of Number of Number of
Product Setups Components Direct Labor Hours
Standard 18 9 275
Deluxe 32 14 215

Overhead costs $75,000 $87,400

Number of setups and number of components are identified as activity-cost drivers for overhead. Assuming an activity-based costing system is used, what is the total amount of overhead costs assigned to the standard model?

A. $81,200

B. $61,200

C. $101,200

D. $81,900

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