The Amount of Overhead Applied for Activity 2 During the
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$$\begin{array}{l}\begin{array} { | l | l | l | } \hline & \begin{array} { l } \text { Estimated } \\\text { Overhead } \\\text { Cost }\end{array} & \begin{array} { l } \text { Expected } \\\text { Activity }\end{array} \\\hline \text { Activity 1 } & \$ 11,916 & 900 \\\hline \text { Activity 2 } & \$ 12,360 & 1,200 \\\hline \text { Activity 3 } & \$ 19,950 & 1,000 \\\hline\end{array}\\\text { Actual activity for the current year was as follows: }\\\begin{array} { | l | c | } \hline & \begin{array} { l } \text { Actual } \\\text { Activity }\end{array} \\\hline \text { Activity 1 } & 915 \\\hline \text { Activity 2 } & 1,185 \\\hline \text { Activity 3 } & 965 \\\hline\end{array}\end{array}$$ The amount of overhead applied for Activity 2 during the year was closest to:

A) $12,205.50.
B) $12,460.00.
C) $16,905.75.
D) $12,360.00.

Correct Answer:

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