Max Company allocates overhead based on direct labor hours. It allocates overhead costs of $$12,600$ to two different jobs as follows:

Job $1$: $(12$ hours$)=$ $$6,300$; Job $2$: $(12$ hours$)=$ $$6,300$

The production process for Job $2$ was then automated. Now Job $2$ requires only $3$ hours of direct labor but $5$ hours of mechanical processing. As a result, total overhead increases to $$17,400.$ With the change in the production process for Job $2,$ the amount of overhead assigned to:

Multiple Choice

Job $1$ will decrease.

Job $1$ will increase.

each product will increase.

each product will decrease.