Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Long Distance Company's Travel Department had the following budgeted costs for the coming year: Variable costs Fixed costs $34 per trip $143,360 Yearly Trips Monthly

Long Distance Company's Travel Department had the following budgeted costs for the coming year: Variable costs Fixed costs $34 per trip $143,360 Yearly Trips Monthly Peak Trips West Sales Territory Midwest Sales Territory 110 trips 5 170 trips 12 Southern Sales Territory 150 trips 11 Easter Sales Territory 130 trips 8 The actual usage is as follows: West Sales Territory Midwest Sales Territory Southern Sales Territory 100 trips 150 trips 160 trips 140 trips Eastern Sales Territory Using both a fixed and variable rate, what are the respective rates for fixed and variable per trip for the West Sales Territory? Fixed costs are allocated on the basis of monthly peak trips. Oa. 12.5%; $34 Ob. 18.2%; $34 Oc. 18.6%; $34 Od. 17.3%; $34 Oe. None of these choices

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

Step: 3

blur-text-image

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

More Books

Students also viewed these Accounting questions

Question

List and describe the classifications of corporations.

Answered: 1 week ago