Boxes-2-Go has two divisions,large and small,that share the common costs of the company's communications network.The annual common costs are $4,500,000.You have been provided with the following information for the upcoming year: What is the allocation rate for the upcoming,year assuming Boxes-2-Go uses the single-rate method and allocates common costs based on the time on the network?
A)$10.98
B)$10.00.
C)$8.00.
D)$7.14.

Question

Boxes-2-Go has two divisions,large and small,that share the common costs of the company's communications network.The annual common costs are $4,500,000.You have been provided with the following information for the upcoming year:  What is the allocation rate for the upcoming,year assuming Boxes-2-Go uses the single-rate method and allocates common costs based on the time on the network?
A)$10.98 
B)$10.00. 
C)$8.00. 
D)$7.14.

Quizplus · Accepted Answer

The Answer of Boxes-2-Go has two divisions,large and small,that share the common costs of the company's communications network.The annual common costs are $4,500,000.You have been provided with the following information for the upcoming year:  What is the allocation rate for the upcoming,year assuming Boxes-2-Go uses the single-rate method and allocates common costs based on the time on the network?
A)$10.98 
B)$10.00. 
C)$8.00. 
D)$7.14.

Boxes-2-Go Has Two Divisions,large and Small,that Share the Common Costs