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Pitt Jones Company had the following activities, allocated costs, and allocation bases: Activities Allocated Costs Account'inquiry (hours) $60,000 Account billing (lines) $30,000 Account verification $15,000

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Pitt Jones Company had the following activities, allocated costs, and allocation bases: Activities Allocated Costs Account'inquiry (hours) $60,000 Account billing (lines) $30,000 Account verification $15,000 (accounts) Correspondence $10,000 (letters) Allocation Base 2,000 hours 20,000 lines 20,000 accounts 1,000 letters The above activities are used by departments Pand Q Department P Accountinquiry (hours) 100 hours Account billing (lines) 10,000 lines Account verification (accounts) 1,000 accounts Correspondence (letters) 50 letters Department 0 200 hours 7,000 lines 600 accounts 100 letters How much of the account verification costs will be assigned to Department P? $800 $2,500 $750 $1,500

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