Allen Crabb Corporation had the following activities, traceable costs, and physical flow of driver units:
The above activities are used by departments X and Y as follows:

-How much of the account verification cost will be assigned to Department Y?
A) $150,000
B) $7,500
C) $15,000
D) $22,500

Question

Allen Crabb Corporation had the following activities, traceable costs, and physical flow of driver units:
  The above activities are used by departments X and Y as follows:
 
-How much of the account verification cost will be assigned to Department Y?
A) $150,000 
B) $7,500 
C) $15,000 
D) $22,500

Quizplus · Accepted Answer

Department Y has 500 accounts, which is 10% of the total 5,000 accounts. Therefore, Department Y will be assigned 10% of the $150,000 account verification cost, which is $15,000.

Allen Crabb Corporation Had the Following Activities, Traceable Costs, and Physical