During the month of September the Gaffney Company, which operates one factory location and one administrative location, reported the following costs: Facility costs total:

Question

During the month of September the Gaffney Company, which operates one factory location and one administrative location, reported the following costs:  Facility costs total:

Quizplus · Accepted Answer

The question does not specify which costs fall under the category of "facility costs," but since Gaffney Company only operates one factory and one administrative location, it is safe to assume that these costs are related to those two locations. Out of the given answer choices, B ($5,400) is the most reasonable estimate for the combined facility costs of Gaffney Company's two locations for a month.

During the Month of September the Gaffney Company, Which Operates