Gizmo Company, a manufacturer of small appliances, had the following activities, allocated costs, and allocation bases:...

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Gizmo Company, a manufacturer of small appliances, had the following activities, allocated costs, and allocation bases: Activities Allocated Costs Allocation Base $72,000 $39,000 3,000 hours Account inquiry (hours) Account billing (lines) Account verification (accounts) Correspondence (letters) 20,000 lines 25,000 accounts 1,600 letters $10,000 $11,000 The above activities are carried out at two of its regional offices. Northeast Office Midwest Office Activities 120 hours 250 hours Account inquiry (hours) Account billing (lines) Account verification (accounts) Correspondence (letters) 12,000 lines 8,000 lines 600 accounts 1,100 accounts 40 letters 110 letters What is the cost per hour for the account inquiry activity? (Round your answer to the nearest cent.) O A. $1.95 B. $0.40 OC. $6.88 O D. $24.00 Gizmo Company, a manufacturer of small appliances, had the following activities, allocated costs, and allocation bases: Activities Allocated Costs Allocation Base $72,000 $39,000 3,000 hours Account inquiry (hours) Account billing (lines) Account verification (accounts) Correspondence (letters) 20,000 lines 25,000 accounts 1,600 letters $10,000 $11,000 The above activities are carried out at two of its regional offices. Northeast Office Midwest Office Activities 120 hours 250 hours Account inquiry (hours) Account billing (lines) Account verification (accounts) Correspondence (letters) 12,000 lines 8,000 lines 600 accounts 1,100 accounts 40 letters 110 letters What is the cost per hour for the account inquiry activity? (Round your answer to the nearest cent.) O A. $1.95 B. $0.40 OC. $6.88 O D. $24.00

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