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St. James, Inc., currently uses traditional costing procedures, applying $800,000 of overhead to products Beta and Zeta on the basis of direct labor hours. The company is considering a shift to activity-based costing and the creation of individual cost pools that will use direct labor hours , production setups (SU), and number of parts components as cost drivers. Data on the cost pools and respective driver volumes follow. Product: Pool 1 (Driver:DLH) Pool 2:Pool 3: Beta 1,200 45 2,250 Zeta 2,800 55 750 Pool Cost $160,00 $280,000 $360,000 The overhead cost allocated to Beta by using traditional costing procedures would be: A. $240,000. B. $356,000. C. $444,000. D. $560,000. E. some other amount. The overhead cost allocated to Zeta by using activity-based costing procedures would be.

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