Founder Consulting Corporation Has Its Headquarters in Memphis and Operates

question 50

Multiple Choice

Founder Consulting Corporation has its headquarters in Memphis and operates from three branch offices in Nashville,Atlanta,and Louisville.Two of the company's activity cost pools are Administrative Service and Development Service.These costs are allocated to the three branch offices using an activity-based costing system.Information for next year follows: Estimated branch data for next year is as follows: How much of the headquarters cost allocation should Nashville expect to receive next year?

• A)$280,000
• B)$409,500
• C)$472,500
• D)$504,000
• E)$560,000

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Definitions:

Extinction

In psychology, the gradual weakening and eventual disappearance of a conditioned response when the conditioned stimulus is repeatedly presented without the unconditioned stimulus.

CR Fading

A technique in classical conditioning by which the conditioned response (CR) is gradually weakened by presenting the conditioned stimulus (CS) without the unconditioned stimulus (US).

Habituation

A decrease in response to a stimulus after repeated presentations, indicating a basic form of learning.

Generalization Fading

A technique used in behavior therapy where a learned response to a specific stimulus is gradually applied to a broader range of similar stimuli.