Power Company manufactures a variety of drill bits. The company's plant is partially...

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Accounting

Power Company manufactures a variety of drill bits. The company's plant is partially automated. The budget for the year includes $516,000 payroll for 6,200 direct labor-hours. Listed below is cost driver information used in the product-costing system:
\table[[Overhead Cost Pool,Budgeted Overhead,Cost Driver,Estimated Cost Driver Level],[Machine setups,$604,250,Number of setups,190 setups],[Materials handling,108,600,Number of barrels,9,050 barrels],[Quality control,558,000,Number of inspections,1,800 inspections],[Other overhead cost,403,000,Number of machine hours,15,500 machine hours],[Total overhead,$1,673,850,,]]
A current product order has the following requirements:
\table[[Machine setups,16 setups],[Materials handling,648 barrels],[Quality inspections,84 inspections],[Machine hours,1,100 machine hours],[Direct labor hour,420 hours]]
Using activity-based costing, how much material handling overhead is assigned to the order?
Multiple Choice
$19,900
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