ABC Co has a production department in Block H of the building and another in Block F. There are also two service departments namely the canteen and the maintenance department. Fixed overheads are incurred as follows:

Department Overheads

$'000 H Block 400 F Block 700 Canteen 550 Maintenance 800 The canteen provides food for H Block (40%), F Block (40%) and the maintenance department (20%). Maintenance does work for H Block and F Block in the ratio 2:3.

What would be the total fixed overhead of H Block if all service department overheads are allocated to production departments?

A $546,000 B $364,000 C $984,000 D $1,466,000