Fenway Telcom Has Three Divisions,commercial,retail,and Consumer,that Share the Common Costs

question 50

Multiple Choice

Fenway Telcom has three divisions,commercial,retail,and consumer,that share the common costs of the company's computer server network.The annual common costs are $2,400,000.You have been provided with the following information for the upcoming year: What is the allocation rate for the upcoming year,assuming Fenway Telcom uses the single-rate method and allocates common costs based on the time on the network?

• A)$20.00.
• B)$16.00.
• C)$4.00.
• D)$2.86.

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Definitions:

Infradian

Pertaining to biological rhythms with a frequency of less than one cycle in 24 hours, such as menstrual cycles.

Altered State

A condition of significant deviation from one’s normal mental or physical state, due to influences like meditation, drugs, or hypnosis.

Consciousness

The state of being aware of and able to think about one's environment, thoughts, feelings, and sensations.

Circadian Rhythms

Natural, internal processes that regulate the sleep-wake cycle and repeat roughly every 24 hours.