Use the Information Below to Answer the Following Question(s)

Multiple Choice

Use the information below to answer the following question(s) .General Media manufactures cassettes and CDs in separate divisions utilizing one plant location.The following data have been prepared for review.
-What is the fixed cost per year and the variable cost per hour, respectively, for the General Media Cassette Division using the dual-rate method, assuming that the allocation bases are capacity for fixed costs and budgeted capacity for variable costs?

A) $720,000 and $360
B) $720,000 and $400
C) $765,958 rounded and $400
D) $765,958 rounded and $360
E) $900,000 and $400