Figure 3-4
Quint Manufacturing Uses an Activity-Based Costing System The Following Costs Are Reported

Figure 3-4
Quint Manufacturing uses an activity-based costing system. The company produces Model 1 and Model 2. Information relating to the two products is as follows: $$\begin{array} { l r r } \text { Units produced } & \text { Model 1 } & \text { Model } 2 \\\text { Machine hours } & 24,000 & 30,000 \\\text { Direct labour hours } & 7,500 & 8,500 \\\text { Material handling (number of moves) } & 8,000 & 12,000 \\\text { Setups } & 4,000 & 6,000 \\& 5,000 & 7,000\end{array}$$ The following costs are reported: $\begin{array}{lr}\text { Material handling } & £ 40,000 \\\text { Labour-related overhead } & 120,000 \\\text { Setups } & 60,000\end{array}$
-Refer to Figure 3-4. Labour-related overhead costs assigned to Model 1 are

A) £60,000.
B) £58,000.
C) £54,400.
D) £48,000.