Use the Information Below to Answer the Following Question(s)

question 77

Multiple Choice

Use the information below to answer the following question(s) .Bill Cobb Corporation had the following activities, pooled costs, and physical flow of driver units.The company uses activity-based costing. The above activities are used by departments X and Y as follows:

-How much of the correspondence cost will be assigned to Department X?

• A)$10,000
• B)$8,333
• C)$25,000
• D)$5,000
• E)$50,000

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Definitions:

Capital Balances

refers to the amount of money stakeholders have invested in a company, recorded in the equity section of the balance sheet.

Income

The money received, especially on a regular basis, for work or through investments.

Capital Balances

Represents the amount of money that owners have invested in a company minus any withdrawals they have made from the company.

Salary Allowances

Fixed sums or benefits paid in addition to a base salary, often determined by specific terms of employment.