The telephone expense is allocated on the basis of floor space.Department A occupies 1,875 square feet and Department B occupies 625 square feet.If the telephone expense is $600,the amount allocated to Department A is

Question

Quizplus · Accepted Answer

Department A occupies 1,875 out of a total of 2,500 square feet (1,875 + 625). The allocation is based on the proportion of space occupied, so Department A's share is (1,875/2,500) * $600 = $450.

The Telephone Expense Is Allocated on the Basis of Floor