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Help Save & Exit Submit 10 11 points QS 9-21A (Algo) Joint cost allocation LO C2 A company purchases a 8,580-square-foot building for $445,000.
Help Save & Exit Submit 10 11 points QS 9-21A (Algo) Joint cost allocation LO C2 A company purchases a 8,580-square-foot building for $445,000. The building has two separate rental units. Unit A, which has the desirable location on the comer and contains 1,755 square feet, will be rented for $2.00 per square foot. Unit B contains 6,825 square feet and will be rented for $1.20 per square foot. How much of the joint cost should be allocated to Unit A and to Unit B using the value basis of allocation? H Unit A Unit B Totals Rental value Allocated Percent of rental value Joint Cost cost % of Mk Numerator Denominator Value Check my work
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