Barrington Box Enterprises has two divisions, large and small, that share the common costs of the company's communications network. The annual common costs are $4,680,000. You have been provided with the following information for the upcoming year. Large Small Calls 117,000 78,000 The cost accountant determined $2,800,000 of the communication network's costs were fixed and should be allocated based on the number of calls. The remaining costs should be allocated based on the time on the network. What total communication network costs allocated to the Small Box Division, assuming the company uses dual-rates to allocate common costs? Multiple Choice $2,248,000 $1,880,000 $859,692 Time on Network (hours) 144,000 216,000 $1,388,308

Barrington Box Enterprises has two divisions, large and small, that share the common costs of the company's communications network. The annual common costs are $4,680,000. You have been provided with the following information for the upcoming year. Large Small Calls 117,000 78,000 The cost accountant determined $2,800,000 of the communication network's costs were fixed and should be allocated based on the number of calls. The remaining costs should be allocated based on the time on the network. What total communication network costs allocated to the Small Box Division, assuming the company uses dual-rates to allocate common costs? Multiple Choice $2,248,000 $1,880,000 $859,692 Time on Network (hours) 144,000 216,000 $1,388,308

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter10: Evaluating Decentralized Operations

Section: Chapter Questions

Problem 6E: Varney Corporation, a manufacturer of electronics and communications systems, allocates Computing...

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