Beta Company Is Preparing Its Annual Profit Plan

question 8

Multiple Choice

Beta Company is preparing its annual profit plan.As part of its analysis of the profitability of its customers,management estimates that the $12,000 for sales support should be assigned to the individual customers from the information given as follows: What is the amount of the sales support costs that should be allocated to Customer B,assuming Beta uses units purchased to compute activity-based costs?

• A)$2,400.
• B)$4,000.
• C)$8,000.
• D)$9,600.

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