Brannon Company manufactures ceiling fans and uses an activityminus-based costing system. Each ceiling fan consists of 20 separate parts. The direct material cost is$95 and each ceiling fan requires 2.5 hours of machine time to manufacture. There is no direct labor cost. Additional information is asfollows:
| Activity |
Allocation Base |
Predetermined Overhead Allocation Rate |
| Materials handling |
Number of parts |
$0.08 |
| Machining |
Machine hours |
7.20 |
| Assembling |
Number of parts |
0.35 |
| Packaging |
Number of finished units |
2.70 |
What is the total manufacturing cost per ceilingfan?
A. $125.75
B. $121.13
C. $124.30
D. $115.32