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Boulder Mountain manufactures two products, Standard and Deluxe. Boulder Mountain's overhead consists of $5,000,000 for machining and $2,500,000 for assembly. The following information has been

  1. Boulder Mountain manufactures two products, Standard and Deluxe. Boulder Mountain's overhead consists of $5,000,000 for machining and $2,500,000 for assembly. The following information has been complied about the two products:

Standard

Deluxe

Direct labor hours

10,000

15,000

Number of parts

90,000

160,000

Machine hours

10,000

30,000

Overhead allocated to Standard using a single overhead rate based on the number of parts and usingactivity-based costing, respectively, are:

  1. $2,700,000 and $2,250,000.
  2. $1,875,000 and $2,625,000.
  3. $2,400,000 and $2,250,000.
  4. $2,150,000 and $2,350,000.
  5. $2,400,000 and $2,625,000.

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