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Barrington Box Enterprises has two divisions, large and small, that share the common costs of the company's communications network. The annual common costs are $4,550,000.
Barrington Box Enterprises has two divisions, large and small, that share the common costs of the company's communications network. The annual common costs are $4,550,000. You have been provided with the following information for the upcoming year: Large Small Calls 103,000 72,000 Time on Network (hours) 122,000 228,000 The cost accountant determined $2,830,000 of the communication network's costs were fixed and should be allocated based on the number of calls. The remaining costs should be allocated based on the time on the network. What is the total communication network costs allocated to the Large Box Division, assuming the company uses dual-rates to allocate common costs? Multiple Choice $2,830,000. $2,284,800. $1,423,000. O $2,265,200. The following information was presented by Outdoors Manufacturing Company for an asset purchased at the beginning of the previous year. Original cost of the asset Useful life of the asset Cash flow annual operating profit Salvage value $ 20,000 10 years $ 4,000 $ -0- What is the return on investment (ROI) assuming Outdoors uses (a) the straight-line method for depreciation and (b) beginning-of-year net book values to compute ROI? O O O o
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