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Boswell Company manufactures two products, Regular and Supreme. Boswell's overhead costs consist of machining, $3,000,000; and assembling, $1,500,000. Information on the two products is: Regular

Boswell Company manufactures two products, Regular and Supreme. Boswell's overhead costs consist of machining, $3,000,000; and assembling, $1,500,000. Information on the two products is:

Regular Supreme
Direct labor hours

10,000

15,000

Machine hours

10,000

30,000

Number of parts

90,000

160,000

Overhead applied to Supreme using activity-based costing is:

****Please show your work and how you arrived at your answer. Thank you****

Select one:

a. $1,290,000.

b. $1,800,000.

c. $2,700,000.

d. $3,210,000.

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