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Mesa Telcom has three divisions, commercial, retail, and consumer, that share the common costs of the company's computer server network The annual common costs are
Mesa Telcom has three divisions, commercial, retail, and consumer, that share the common costs of the company's computer server network The annual common costs are $2,400,000 You have been provided with the following information for the upcoming year Commercial Retail Consumer Connections 60,000 80,000 100,000 Time on Network (hours) 120,000 150,000 330,000 The cost accountant determined $1700,000 of the server network costs were fixed and should be allocated based on the number of connections. The remaining costs should be allocated based on the time on the network What is total server network costs allocated to the Retal Division (rounded to the nearest whole dollar), assuming the company uses chual rates to allocate common costs? Multiple Choice $741667 $741,667 O $657143 $425,000 $211,765
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