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Spirit Company blends and sells designer fragrances. It has a Men's Fragrances Division and a Women's Fragrances Division, each with different sales strategies, distribution channels,
Spirit Company blends and sells designer fragrances. It has a Men's Fragrances Division and a Women's Fragrances Division, each with different sales strategies, distribution channels, and product offerings. Spirit is now considering the sale of a bundled product called Sync, consisting of one bottle of Him, a men's cologne, and one bottle of Her, a women's perfume, two of Spirit's very successful products. Spirit sells equal quantities of Him and Her perfume. For the most recent year, Spirit reported the following: (Click the icon to view the sales information.) Read the requirements. Requirement 1a. Allocate revenue from the sale of each unit of Sync to Him and Her using the following: a. The stand-alone revenue-allocation method based on selling price of each product. (Do not round intermediary calculations. Only round the amount you input in the cell to the nearest dollar.) perfune. Foe the most recert year, Sprit reported the follswing: [Click the ieen io wiew the sales infomition. Road the Requirement 1a. Allocide reverve from the sule of each unt of Symc to kim and Her uaing the folowing inge in the cell to the nearsat delles) Requirements 1. Alocale revenue from the sale of each ant of 5 ync to him and her wsing the following a. The stand-alore invtrie-alocation method based on seling price of each prosuct b. The incrementak reventue-alscilion method, with Him rarked as ne primary probuct c. The incremeneal revence-alscation mothod, wibh Har ranked as the srmary prosust d. The Shatiey vacue mathos 2. Of the four methods in requirement 1 , which one acuid you recommend fer allocating Syrne's revenues to Him and Her? Explain
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