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Pina Colada Plus has outgrown its current building and needs to find additional storage space. The company currently operates three divisions, Carpet, Tile, and Vinyl.
Pina Colada Plus has outgrown its current building and needs to find additional storage space. The company currently operates three divisions, Carpet, Tile, and Vinyl. The needs of each division are as follows. division's quote came in at $490 per month, and the Vinyl division found a space for $890 per month. The company manager feels it would be more beneficial for the company to find one space that all three divisions can share. The larger facility came in at $1,470 per month, and the manager chose to rent that space. Now he needs to decide how to allocate the common costs to all three divisions. (a) Determine how much cost will be allocated to each division if the manager uses the stand-alone method, (Do not round the intermediate calculations. Round answers to 0 decimal places, eg. 5,2753 Vinyl $
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