A Company's Planned Activity Level for Next Year Is Expected

A company's planned activity level for next year is expected to be 100000 machine hours.At this level of activity the company budgeted the following manufacturing overhead costs: \begin{array}{l}\begin{array}{lr}\quad\quad\quad\text { Variable }\\ \hline \text { Indirect materials } & \$ 120,000 \\\text { Indirect labor } &160,000 \\\text { Factory supplies } & 20,000\end{array}\\begin{array}{l}\quad\quad\quad\quad\text { Fixed }\\\hline \text { Depreciation } & \$ 50,000 \\\text { Taxes } & 10,000 \\\text { Supervision } & 40,000\end{array}\end{array} A flexible budget prepared at the 90000 machine hours level of activity would show total manufacturing overhead costs of

A) $270000.
B) $360000.
C) $370000.
D) $300000.