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Extreme Manufacturing Company provides the following ABC costing information: Activities Account inquiry Account biling Account verification accounts Correspondence letters Total costs Total Costs $200,000 $

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Extreme Manufacturing Company provides the following ABC costing information: Activities Account inquiry Account biling Account verification accounts Correspondence letters Total costs Total Costs $200,000 $ 105,000 $190,000 $48.000 $543,000 Activity - cost drivers 10,000 hours 7,000,000 lines 80,000 accounts 8,000 letters The above activities are used by Departments A and B as follows: Department A Department B O A $60,000 B. $90,000 Oc. $100,000 OD. $200,000 8.000 letters $48.000 $543,000 Correspondence letters Total costs The above activities are used by Departments A and as follows: Account inquiry hours Account billing lines Account verification accounts Correspondence letters How much of the account inquiry cost will be assigned to Department A? Department A 3,000 hours 500,000 lines 13,000 accounts 1.100 letters Department B 4,500 hours 350,000 lines 11,000 accounts 1,500 letters O A $60,000 B. $90,000 OC $100,000 OD. $200,000

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