Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Bean Brewers, Inc., a manufacturer of coffee makers, had the following activities, allocated costs, and allocation bases: table [ [ Activities , Allocated Costs,Allocation

Bean Brewers, Inc., a manufacturer of coffee makers, had the following activities, allocated costs, and allocation bases:
\table[[Activities,Allocated Costs,Allocation Base],[Account inquiry (hours),$62,000,2,200 hours],[Account billing (lines),$43,000,15,000 lines],[Account verification (accounts),$20,000,27,000 accounts],[Correspondence (letters),$12,000,1,200 letters],[The above activities are carried out at two of its regional offices.,,],[Activities,Northeast Office,Midwest Office],[Account inquiry (hours),160 hours,250 hours],[Account billing (lines),12,000 lines,9,000 lines],[Account verification (accounts),1,200 accounts,650 accounts],[Correspondence (letters),30 letters,140 letters]]
How much of the correspondence cost will be assigned to the Northeast Office? (Round any intermediate calculations to the nearest cent and your final answer to the nearest dollar.)
A. $6,500
B. $12,000
C. $300
n $1 Ann
image text in transcribed

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

7th Edition

978-0470477151, 978-0-470-5562, 470556242, 0-470-55624-2, 9780470556245, 978-0470507018

More Books

Students also viewed these Accounting questions

Question

How well do you gain participation and involvement from the group?

Answered: 1 week ago

Question

Who is the client?

Answered: 1 week ago

Question

What is the history of the group with whom you are working?

Answered: 1 week ago