The most likely cost driver base for allocating the actual cost of advertising and promotion would be:
A) The amount of time spent per territory on each customer
B) The square footage used in production of each product
C) The percent of advertising budget per product type
D) The budgeted travel and lodging cost by product line

Question

Quizplus · Accepted Answer

The percent of advertising budget per product type is the most logical cost driver for allocating the actual cost of advertising and promotion because it directly relates the allocation to the intended benefit or exposure each product type receives from the advertising efforts.

The Most Likely Cost Driver Base for Allocating the Actual