Rogers Company is preparing its annual profit plan.As part of its analysis of the cost of its purchasing activity,management estimates that the $48,000 for purchasing support should be assigned to the individual vendors from the information given as follows: What is the amount of the purchasing costs that should be allocated to Vendor A,assuming Rogers uses number of shipments received to compute activity-based costs?
A)$9,000.
B)$16,000.
C)$32,000.
D)$39,000.

Question

Rogers Company is preparing its annual profit plan.As part of its analysis of the cost of its purchasing activity,management estimates that the $48,000 for purchasing support should be assigned to the individual vendors from the information given as follows:  What is the amount of the purchasing costs that should be allocated to Vendor A,assuming Rogers uses number of shipments received to compute activity-based costs?
A)$9,000. 
B)$16,000. 
C)$32,000. 
D)$39,000.

Quizplus · Accepted Answer

The Answer of Rogers Company is preparing its annual profit plan.As part of its analysis of the cost of its purchasing activity,management estimates that the $48,000 for purchasing support should be assigned to the individual vendors from the information given as follows:  What is the amount of the purchasing costs that should be allocated to Vendor A,assuming Rogers uses number of shipments received to compute activity-based costs?
A)$9,000. 
B)$16,000. 
C)$32,000. 
D)$39,000.

Rogers Company Is Preparing Its Annual Profit Plan