Multiple Choice Question 94 A company incurs $2880000 of overhead each year in three departments: Processing, Packaging, and Testing. The company performs 800 processing transactions, 200000 packaging transactions, and 2000 tests per year in producing 400000 drums of Oil and 600000 drums of Sludge. The following data are available: Department Processing Packaging Testing Expected Use of Driver 800 200000 2000 Cost $1140000 1140000 600000 Production information for the two products is as follows: Department Processing Packaging Testing Oil Expected Use of Driver 300 120000 1600 Sludge Expected Use of Driver 500 80000 400 The amount of overhead assigned to Oil using ABC is $1591500. $1288500. $1020000. $1440000