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 number of connections?
A)$10.00.
B)$15.00.
C)$20.00.
D)$40.00.

Question

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 number of connections?
A)$10.00. 
B)$15.00. 
C)$20.00. 
D)$40.00.

Quizplus · Accepted Answer

The Answer of 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 number of connections?
A)$10.00. 
B)$15.00. 
C)$20.00. 
D)$40.00.

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