Organic Laboratories 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	$	62,587,200		$	100,360,000		$	77,772,800		$	240,720,000
Research & Development										$	60,360,000

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

Multiple Choice

• $24,072,000.

• $15,693,600.

• $244,504,000.

• $9,018,000.

• $18,036,000.