Red Company allocates research and development costs to its three research facilities based on each facility's total annual revenue from new product developments:

Facility location	Kentucky	Arizona	Illinois	Total
New product revenue	$ 66,000,000	$ 100,000,000	$ 84,000,000	$ 250,000,000
Research & Development				$ 60,000,000

Using revenue as an allocation base, the amount of costs allocated to the Illinois research facility is calculated to be:

Multiple Choice

$18,000,000.

$32,160,000.

$13,160,000.

$27,160,000.

$20,160,000.