The purchasing department of Brindley Company performs the purchasing function for the entire business. The numbers of
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The purchasing department of Brindley Company performs the purchasing function for the entire business. The numbers of purchase orders processed during the most recent month are as follows:
West Division: 33 purchase orders East Division: 47 purchase orders Central Division: 20 purchase orders The monthly cost of operating the purchasing department, including personnel, was $20,000.
Allocate the cost of the purchasing department using the number of purchase orders processed as an allocation base.
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