Answer the Following Questions Using the Information Below:
Canberra Home

question 76

Multiple Choice

Answer the following questions using the information below:
Canberra Home Appliances sells a refrigerator and a freezer as a single package for $1100.Other data are in the chart below.
$$\begin{array} { | c | c | c | c | } \hline & \text { Refrigerator } & \text { Full-size Freezer } & \text { Packaged Price } \\\hline \text { Selling price } & \$ 925 & \$ 450 & \$ 1100 \\\hline \text { Manufactuning cost per unit } & \$ 620 & \$ 220 & \\\hline \text { Stand-alone product reverues } & \$ 1225000 & \$ 775000 & \\\hline\end{array}$$
-Using the stand-alone method with manufacturing cost per unit as the weight for revenue allocation,what amount will be allocated to the refrigerator?

• A)$620.00
• B)$500.00
• C)$612.50
• D)$811.90

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Definitions:

Round Off

The process of adjusting a numerical value to its nearest and most simplified form, often by eliminating decimal points or insignificant digits.

Decimal Point

A dot or small symbol used to separate the integer part from the fractional part of a number written in decimal form.

Multiplication

A fundamental mathematical operation that represents the repeated addition of a number by itself a specified number of times.

Division

In business, a division refers to a distinct part of a company that focuses on a particular market, product line, or service, often operating with a certain degree of independence.