Question
Bank's Department Store has three departments Men's, Women's, and Children's. The store incurred $38,000 of store rental costs during the current year. The departments
Bank's Department Store has three departments Men's, Women's, and Children's. The store incurred $38,000 of store rental costs during the current year. The departments identified the following cost drivers: Labor dollars Number of employees Square footage Number of sales transactions Men's $538,000 Women's $783,000 Children's $ 248,000 18 3,800 308,000 28 8,800 908,000 12 1,800 98,000 Using the most appropriate cost driver, how much rental cost should be allocated to the Women's Department? (Do not round intermediate calculations. Round final answer to the nearest dollar.) Multiple Choice $7.862 $6,006
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