Pepper Department store allocates its service department expenses to its various operating (sales) departments. The following data is available for its service departments:ExpenseBasis for allocation Amount RentSquare feet of floor space $24,000 AdvertisingAmount of dollar sales $30,000 AdministrativeNumber of employees $45,000 The following information is available for its three operating (sales) departments: Department Square Feet Dollar Sales Number of employees A 3,000 $280,000 6 B 3,400 $300,000 8 C 3,600 $420,000 10 Totals 10,000 $1,000,000 24 What is the total advertising expense allocated to Department B?
A. $30,000.
B. $12,500.
C. $ 9,000.
D. $7,500.
E. $10,800.
Answer: C
You might also like to view...
Which of the following is a specific objective of financial reporting?
A) provide information that is useful to investors in making investment decisions B) provide information useful in assessing the amounts, timing, and uncertainty of prospective cash receipts C) provide information useful in assessing the amounts, timing, and uncertainty of prospective cash inflows D) provide information about a company's resources and the claims against the company
An Employer Identification Number (EIN) is obtained by the employer from the
a. CIA; b. IRS; c. Federal Reserve Bank; d. state bank; e. state employment office
Cymphony is mentioned as a marketing research firm specializing in social media research
Indicate whether the statement is true or false
Change efforts could provide for the involvement of employees to ______.
a. share the large amount of work involved b. build commitment c. be able to spread the blame around if the change effort fails d. keep them informed in case some of them will be let go as a result of the change