Hughes Company has two departments, Come and Go. Relevant information is presented below: $$\begin{array} { l l l }
& \text { Come } & \mathrm { G } 0 \
\text { Budgeted Sales }& \$ 400,000 & \$ 2,000,000 \
\text { Actual Sales } &\$ 300,000 & \$ 2,100,000
\end{array}$$ If the total advertising expense is $300,000 and it is allocated on the basis of sales using the preferred method, then the amount allocated to the Go Department should be:
A) $37,500
B) $262,500
C) $50,000
D) $250,000

Question

Hughes Company has two departments, Come and Go. Relevant information is presented below: $$\begin{array} { l l l } 
&  \text { Come } & \mathrm { G } 0 \
 \text { Budgeted Sales }& \$ 400,000 & \$ 2,000,000 \
\text { Actual Sales } &\$ 300,000 & \$ 2,100,000
\end{array}$$ If the total advertising expense is $300,000 and it is allocated on the basis of sales using the preferred method, then the amount allocated to the Go Department should be:
A) $37,500
B) $262,500
C) $50,000
D) $250,000

Quizplus · Accepted Answer

The Answer of Hughes Company has two departments, Come and Go. Relevant information is presented below: $$\begin{array} { l l l } 
&  \text { Come } & \mathrm { G } 0 \
 \text { Budgeted Sales }& \$ 400,000 & \$ 2,000,000 \
\text { Actual Sales } &\$ 300,000 & \$ 2,100,000
\end{array}$$ If the total advertising expense is $300,000 and it is allocated on the basis of sales using the preferred method, then the amount allocated to the Go Department should be:
A) $37,500
B) $262,500
C) $50,000
D) $250,000

Hughes Company Has Two Departments, Come and Go If the Total Advertising Expense Is $300,000 and It Is