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

question 22

Multiple Choice

Use the information below to answer the following question(s) .
Data Source Media manufactures cassettes and CDs. Management is attempting to set the budget for the coming year. Two divisions (Cassette and CD) of the company utilize one plant location. The following data have been prepared for review.

-What is the allocated cost to the two departments, respectively, if the single rate is $1,000? Assume that the Cassette and CD Departments used 1,750 and 200 hours, respectively.

• A) $807,692 rounded and $92,308 rounded
• B) $900,000 and $200,000
• C) $1,750,000 and $200,000
• D) $2,800,000 and $320,000
• E) $900,000 and $320,000

---

Definitions:

Withdraw

The act of removing funds from an account.

Compounded Quarterly

Interest calculation method where interest is added to the principal sum of a deposit or loan every quarter.

Investments

The allocation of resources, often financial, in the expectation of generating an income or profit.

Monthly Compounded

Interest calculation method where interest is added to the principal balance monthly, leading to an increase in the amount of interest earned over periods.