Broso Inc. is a toy company that manufactures two products: Chen and Galagar. Chen is made for infants while Galagar is made for kids. The following are the overhead costs related to the two products: Machine setup Inspections Labor hours CHEN 300 400 3,000 GALAGAR 700 350 2,000 TOTAL COST 500,000 750,000 After passing inspection, Chen dipped into a solution to disinfect it. The company currently uses a single overhead rate based on labor hours, where Chen is assigned a total cost of P900,000. 1) If the company will switch to Activity Based costing, how much would be the overhead cost of Chen? a) 500,000 b) 700,000 c) 800,000 d) 550,000 2) How much is the overhead cost of Galagar? a) 350,000 b) 750,000 c) 500,000 d) 600,000