Answer the Following Question(s)using the Information Below

question 162

Multiple Choice

Answer the following question(s) using the information below:
The Fancy Flier Airplane Corporation has a central materials laboratory.The laboratory has only two users, the Large Plane Department and the Small Plane Department.The following data apply to the coming budget year:
Budgeted amounts are used to calculate the allocation rates.Actual usage for the year by the Large Plane Department was 6,000 technician hours and by the Small Plane Department was 6,500 technician hours.
-If a dual-rate cost allocation method is used, what amount of materials laboratory costs will be allocated to the Large Plane Department? Assume budgeted usage is used to allocate fixed materials laboratory costs and actual usage is used to allocate variable materials laboratory costs.

• A)$782,500
• B)$817,500
• C)$822,500
• D)$705,000
• E)$996,923

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Definitions:

Trademark Infringement

The unauthorized use of a trademark or service mark on competing or related goods and services, potentially confusing consumers.

Restitution

An equitable remedy under which a person is restored to his or her original position prior to loss or injury, or placed in the position he or she would have been in had the breach not occurred.

Counterfeit Prescription Drugs

Illegally produced medications that are made to look like genuine branded drugs but may contain incorrect or harmful ingredients.

Net Profits

The remaining amount of income left after all expenses, taxes, and costs have been subtracted from total revenue.