This year, Lambert Company will ship 1,500,000 pounds of goods to customers at a cost of $1,200,000. If a customer orders 10,000 pounds and produces $200,000 of revenue (total revenue is $20 million), the amount of shipping cost assigned to the customer by using ABC would be:

a. cannot be determined.

b. $24,000 (2 percent of the shipping cost).

c. $8,000 ($0.80 per pound shipped).

d. $12,000 (1 percent of the shipping cost).

e. none of the above.