North Street Corporation Manufactures Two Models of Motorized Go-Carts, a Standard

Multiple Choice

North Street Corporation manufactures two models of motorized go-carts, a standard and a deluxe model. The following activity and cost information has been compiled:

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 cost assigned to the deluxe model?

A) $21,960
B) $17,025
C) $16,840
D) $17,210