The Barton Creek Company Has Three Client-Contact Departments: Market Research,Branding,and

question 87

Essay

The Barton Creek Company has three client-contact departments: Market Research,Branding,and Promotion.Each department requires the services of the Legal Department for the contracts that each undertakes.The size of the Legal Department was based on long-run estimates of contracts.Information on the Legal Department's budgeted and actual costs is as follows:
The budget for the Legal Department is $400,000 + $15/contract.The budgeted volume of contracts is as follows: $$\begin{array} { | l | r | } \hline \text { Market Research } & 200 \\\hline \text { Branding } & 500 \\\hline \text { Promotion } & 800 \\\hline\end{array}$$
The actual number of contracts for Market Research was 207,for Branding was 512,and for Promotion was 820.Required (use three decimal places in your calculations):
a.If a single charging rate based on budgeted usage is used,how much of the cost of the Legal Department would be allocated to each of the producing departments?
b.If a dual charging rate is used,how much of the cost of the Legal Department would be allocated to each of the producing departments

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Definitions:

Fixed-interval

In the context of psychology, it refers to a schedule of reinforcement where the first response is rewarded only after a specified amount of time has elapsed.

Reinforcement Schedule

A pattern that defines how often a desired response will be reinforced, crucial in the process of behavioral conditioning.

Classical Conditioning

A learning process where a neutral stimulus becomes associated with a meaningful stimulus, leading to a conditioned response.

Unconditioned Responses

A natural, reflexive reaction to a stimulus that occurs automatically without any need for prior learning.