Stand-alone revenue allocation, Funland is an amusement park complex in southern Florida. Funland is divided into three autonomous divisions: a water park, a superhero theme park with rides, and an animal park. In addition to selling a daily entrance ticket for each park, Funland has decided to sell a three day ticket that would allow entrance into each of the parks for one day. The ticket selling price and the costs associated with each entrant into a park are:

1. Allocate the revenue from the three-day ticket to each park using the stand-alone method based on ticket price.

2. Allocate the revenue from the three-day ticket to each park using the stand-alone method based on cost per entrant.

3. Allocate the revenue from the three-day ticket to each park using the stand-alone method based on physical units (that is, number of tickets received for each park).

4. Which basis of allocation makes the most sense in this situation? Explain youranswer.

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Daily Cost Per Entrant Ticket Price Park Water Park Superhero Theme Park Animal Park Three-day ticket $40 $15 $25 $60 $20 $10 $90