Cincinnati Million,Inc

question 5

Multiple Choice

Cincinnati Million,Inc.operates two user divisions as separate cost objects.To determine the costs of each division,the company allocates common costs to the divisions.During the past month,the following common costs were incurred: The following information is available concerning various activity measures and service usages by each of the divisions: If all common costs are allocated using operating profit as the allocation basis,what is the total cost allocated to Division B?

• A)$457,286.
• B)$512,714.
• C)$555,000.
• D)$1,087,576.

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Definitions:

Variables

Elements or characteristics in research that can change or vary, often categorized as dependent or independent.

Correlation Coefficient

A numeric metric that determines the intensity and orientation of a linear association between two numerical variables.

Range

The difference between the highest and lowest values in a set of data.

Magnitude

The size, extent, or importance of something, often quantitative in nature.