Question: 24A firm that specializes in chocolate baked goods has long assessed the profitability of a product line by comparing revenues to the cost of goods sold. However, the firm's new accountant wants to use an activity-based costing system that takes into consideration the cost of the delivery person. Listed below are activity and cost information relating to two of the firm's major products. Muffins Cheesecake Revenue $53,000 $46,000 26,000 21,000 Cost of goods sold Delivery Activity: Number of deliveries 150 85 Average length of delivery 10 minutes 15 minutes Cost per hour for delivery $20.00 $20.00 Using activity-based costing, which one of the following statements is correct? A. The muffins are $2,000 more profitable. B. The cheesecakes are $75 more profitable. C. The muffins are $1,925 more profitable