Eberley Corporation's Cost Formula for Its Manufacturing Overhead Is $25,700

Multiple Choice

Eberley Corporation's cost formula for its manufacturing overhead is $25,700 per month plus $10 per machine-hour. For the month of July, the company planned for activity of 5,900 machine-hours, but the actual level of activity was 5,920 machine-hours. The actual manufacturing overhead for the month was $86,800. The manufacturing overhead in the planning budget for July would be closest to:

A) $84,900
B) $86,800
C) $84,700
D) $86,507