Aspen Corporation has two divisions, East and West. Its corporate office is separate from these divisions...

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Aspen Corporation has two divisions, East and West. Its corporate office is separate from these divisions and incurred $190,000 in administrative costs during the year. These costs are allocated to the divisions based on their individual revenues. During the year, the East and West divisions had revenues of $1,800,000 and $2,200,000, respectively. How much of the administrative cost should be assigned to the East division based on the cost allocation rule described? Aspen Corporation has two divisions, East and West. Its corporate office is separate from these divisions and incurred $190,000 in administrative costs during the year. These costs are allocated to the divisions based on their individual revenues. During the year, the East and West divisions had revenues of $1,800,000 and $2,200,000, respectively. How much of the administrative cost should be assigned to the East division based on the cost allocation rule described?

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The total revenue for both divisions is 1800000 2200000 4000000 To allocate the administrati... View the full answer