Bush Company has two departments.Relevant information is presented below: Total company-wide advertising costs are $540,000.The advertising costs are allocated based on sales using the preferred approach.What amount of advertising costs is allocated to Department 1?
A)$37,500
B)$108,000
C)$250,000
D)$262,500

Question

Bush Company has two departments.Relevant information is presented below:  Total company-wide advertising costs are $540,000.The advertising costs are allocated based on sales using the preferred approach.What amount of advertising costs is allocated to Department 1?
A)$37,500 
B)$108,000 
C)$250,000 
D)$262,500

Quizplus · Accepted Answer

The Answer of Bush Company has two departments.Relevant information is presented below:  Total company-wide advertising costs are $540,000.The advertising costs are allocated based on sales using the preferred approach.What amount of advertising costs is allocated to Department 1?
A)$37,500 
B)$108,000 
C)$250,000 
D)$262,500

Bush Company Has Two Departments