Austin Company Manufactures 2 Products, Flacca and Gordo

Multiple Choice

Austin Company manufactures 2 products, Flacca and Gordo.Overhead costs are comprised of machine set-ups $1,600,000; machining $3,600,000; and inspecting $1,200,000.Recent data are shown below: Overhead assigned to Gordo using a single overhead rate based on direct labor hours and using ABC, respectively, will be

A) $4,000,000 and $2,400,000.
B) $4,000,000 and $3,072,000.
C) $2,400,000 and $3,328,000.
D) $2,400,000 and $3,072,000.