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Lillard's Sports Store has three operating departments, and it conducts advertising that benefits all departments. Advertising costs are $200,000. Sales for its operating departments are
Lillard's Sports Store has three operating departments, and it conducts advertising that benefits all departments. Advertising costs are $200,000. Sales for its operating departments are in the table below. How much advertising cost is allocated to Department 1 if the allocation is based on departmental sales? Department 1 Sales $ 440,000 800,000 360,000 2 3 Multiple Choice $45,000. $55,000. $110,000. $90,000. $100,000. A company has two operating departments: Mixing and Bottling. Mixing has 600 employees and Bottling has 400 employees. If office costs of $320,000 are allocated to operating departments based on the number of employees, then $128,000 of the office costs should be allocated to the Mixing department. True or False True False Monte Company's July sales budget shows sales of $1,200,000. The company budgets beginning merchandise inventory of $100,000 and ending merchandise inventory of $80,000 for July. Cost of goods sold is 60% of sales. The budgeted cost of merchandise purchases for July is: Multiple Choice $700,000. $800,000. o $740,000 $720,000. $680,000
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