Match each of the following activities to its most appropriate allocation base.
-Purchasing raw materials
A)Square footage for each department
B)Number of new employees
C)Number of machine hours
D)Number of batches
E)Number of inspections
F)Number of purchase orders
G)Number of service calls

Question

Quizplus · Accepted Answer

Purchasing raw materials is best allocated based on the number of purchase orders placed.

Answer: A 
 Square footage for each department is not an appropriate allocation base for purchasing raw materials.

Answer: B 
 Number of new employees is not an appropriate allocation base for purchasing raw materials.

Answer: C 
 Number of machine hours is not an appropriate allocation base for purchasing raw materials.

Answer: D 
 Number of batches is not an appropriate allocation base for purchasing raw materials.

Answer: E 
 Number of inspections is not an appropriate allocation base for purchasing raw materials.

Answer: G 
 Number of service calls is not an appropriate allocation base for purchasing raw materials.

Match Each of the Following Activities to Its Most Appropriate