Garrett Company Manufactures Coffee Tables and Uses an Activity-Based Costing

Multiple Choice

Garrett Company manufactures coffee tables and uses an activity-based costing system to allocate all manufacturing conversion costs.Each coffee table consists of 15 separate parts totaling $125 in direct materials,and requires 2.0 hours of machine time to produce.Additional information follows:

What is the total manufacturing cost per coffee table?

A) $165.50
B) $40.50
C) $162.75
D) $30.00