Zimmerman Company Manufactures Two Products, Board 12 and Case 165

Multiple Choice

Zimmerman Company manufactures two products, Board 12 and Case 165. Zimmerman's overhead costs consist of setting up machines, $2,400,000; machining, $5,400,000; and inspecting, $1,800,000. Information on the two products is: Overhead applied to Case 165 using activity-based costing is

A) $3,840,000.
B) $4,608,000.
C) $4,992,000.
D) $6,000,000.