Zimmerman Company manufactures two products, Board 12 and Case 165. Zimmermans overhead costs consist of setting up machines, $2,400,000; machining, $5,400,000; and inspecting, $1,800,000. Information on the two products is:

Board 12 Case 165

Direct labor hours 15,000 25,000

Machine setups 600 400

Machine hours 24,000 26,000

Inspections 800 700

Overhead applied to Case 165 using traditional costing using direct labor hours is?

$3,840,000

$4,608,000

$5,010,000

$6,000,000