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Goldfarb’s Book and Music Store has two service departments, Warehouse and Data Center. Warehouse Department costs of $370,000 are allocated on the basis of budgeted warehouse-hours. Data Center Department costs of $180,000 are allocated based on the number of computer log-on hours. The costs of operating departments Music and Books are $137,500 and $165,000, respectively. Data on budgeted warehouse-hours and number of computer log-on hours are as follows:

Production

Support Departments                Departments

Warehouse Department

Data Center Department

Music

Books

Budgeted costs

• $370,000
• $180,000
• $137,500
• $165,000

Budgeted warehouse-hours

• NA
• 500
• 1050
• 1520

Number of computer hours

• 210
• NA
• 900
• 1040

Using the direct method, what amount of Data Center Department costs will be allocated to Department Music? (Do not round any intermediary calculations.)

A. $75,349

B. $96,495

C. $83,505

D. $180,000