Bell, Biv, and Devoe Company had the following activities, estimated indirect activity costs, and allocation bases:...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Bell, Biv, and Devoe Company had the following activities, estimated indirect activity costs, and allocation bases: Activities Indirect Activity Costs Allocation Base Account inquiry (hours) Account billing (lines) $85,700 3,100 32,000 25,500 $56.000 Account verification (accounts) $37,250 Correspondence (letters) $72,000 11,000 The company uses activity - based costing. The above activities are used by Departments P and Q as follows: Department P Department Q Account inquiry (hours) Account billing (Ilines) Account verification (accounts) Correspondence (letters) 200 700 10,000 4,000 6.000 7,000 1,000 2,000 How much of the account inquiry cost will be assigned to Department Q? (Do not round intermediate calculations and round the final answer to the nearest dollar.) O A. $10,850 O B. $5.529 O C. $1,580 O D. $19,352 Bell, Biv, and Devoe Company had the following activities, estimated indirect activity costs, and allocation bases: Activities Indirect Activity Costs Allocation Base Account inquiry (hours) Account billing (lines) $85,700 3,100 32,000 25,500 $56.000 Account verification (accounts) $37,250 Correspondence (letters) $72,000 11,000 The company uses activity - based costing. The above activities are used by Departments P and Q as follows: Department P Department Q Account inquiry (hours) Account billing (Ilines) Account verification (accounts) Correspondence (letters) 200 700 10,000 4,000 6.000 7,000 1,000 2,000 How much of the account inquiry cost will be assigned to Department Q? (Do not round intermediate calculations and round the final answer to the nearest dollar.) O A. $10,850 O B. $5.529 O C. $1,580 O D. $19,352
Expert Answer:
Answer rating: 100% (QA)
Answer Option D 19352 Explanation First we need to calculate allocati... View the full answer
Related Book For
Intermediate Accounting
ISBN: 978-0324659139
11th edition
Authors: Loren A. Nikolai, John D. Bazley, Jefferson P. Jones
Posted Date:
Students also viewed these accounting questions
-
As of December 31, Brian Company had the following account balances: Required: a. What was the current ratio? b. Explain what the current ratio measures. Accounts payable Accounts receivable Bonds...
-
The Janjua Company had the following account balances at 1/1/18: Common Stock $65,000 Treasury Stock (at cost) 13,400 Paid-in-Capital in Excess of Par 82,000 Investments in AFS Debt Securities 42,000...
-
The Marino Company had the following balance sheet on January 1, 2007: On January 2, 2007 the Paul Company purchased the Marino Company by acquiring all its outstanding shares for $300,000 cash. On...
-
1. Based on a simple, constant context, you will arrive at a stationary state for a unregulated, and then a regulated system. Assume that air resistance and friction for a car increase in the power...
-
Whitley Company is considering two capital investments. Both investments have an initial cost of $5,000,000 and total net cash inflows of $8,000,000 over 10 years. Whitley requires a 10% rate of...
-
Suppose we have samples of five men and of five women and have conducted a randomization test to compare the sexes on the variable Y = pulse. Further, suppose we have found that in 120 out of the 252...
-
With roots that go back to before the Great Depression, Marriott International (www.marriott.com) has come a long way from its founding by husband and wife John and Alice Marriott. As of 2014,...
-
Ann Simpson started her practice as a design consultant on September 1, 2018. During the first month of operations, the business completed the following transactions: Sep. 1 Received $48,000 cash and...
-
Suppose you invest $200000 into S&P 500 with the expectation that S&P will earn 0.7% per year from now on. What do you expect your investment to be worth in 8 years?
-
f(x) = 2x + 3 and g(x) = -3x + 2. For the above function, use base point x0 = 1.0 and x = 0.1 to compute f and g. Find (fg) (the change in the product) by computing f(x0 + x)g(x0 + x) - f(x0)g(x0)....
-
Define and distinguish between the following types of liability covered during the course: strict liability, vicarious liability, joint and several liability. Provide ONE (1) example of each.
-
4. a.) Convert (decimal) 123 into hexadecimal, binary, and octal. Show your work. (Hint: Convert it to binary first, then group the bits from the right into threes for octal and fours for...
-
There are four pieces to an annuity present value. What are they? What are the differences between an ordinary annuity, an annuity due, and perpetuity? In general, what is the present value of a...
-
To what extent does the visionary leader's ability to anticipate and respond to emerging challenges and opportunities determine the organization's resilience and competitive advantage in a rapidly...
-
Imagine yourself to be an entrepreneur, you are presenting a business plan to investors to convince them to invest in your business? Discuss some focal points of such a discussion.
-
How do philosophical frameworks such as existentialism and utopianism inform our understanding of the visionary leader's quest for meaning and transcendence in shaping a better future for humanity?
-
systematically analyse and evaluate Michael Kors' Country Selection & Expansion Process. Answer guide formal: Please answer the question by presenting and explaining suitable concepts from the class...
-
Suppose the S&P 500 futures price is 1000, = 30%, r = 5%, = 5%, T = 1, and n = 3. a. What are the prices of European calls and puts for K = $1000? Why do you find the prices to be equal? b. What...
-
On February 1, Jacher Company, a U.S. company, purchased inventory on credit from a British Company for 50,000. Jacher properly recorded its inventory and accounts payable at $90,000, based on an...
-
At the end of 2010, Rowet Company reported a deferred tax liability of $6,120 based on an income tax rate of 30%. On June 1, 2011 Congress changed the income tax rate to 35%. Required 1. Calculate...
-
On January 15, 2011, a truck driver for Cork Transfer Company negligently rounded a curve that was also a bridge covering several local merchant shops. The truck jumped the guardrail and fell 30 feet...
-
On June 3, 2019, Catherine Shanahan received an unsolicited phone call on her cell phone. When she answered, she heard a prerecorded voice message advertising extended automobile warranties (Service...
-
In July 2006, the International Brotherhood of Teamsters, Local Union 25, filed two petitions and held an election for a collective bargaining representative at two FedEx locations. However, FedEx...
-
Miller filed for Chapter 7 bankruptcy protection on April 26, 2013. Based upon the filing date, the period for determining Millers current monthly income was October 1, 2012, through March 31, 2013....
Study smarter with the SolutionInn App