Bright College is a community college located in Bright, CA. It provides instruction in five areas: Art, Business, Computer Science, Graphic Design, and Nursing. The college shares copy services with a total monthly cost of $10,000. The college is considering allocating costs using either number of copies or operating income as its allocation base. Data for the month of September, 2012 follows:
Which is the best method to allocate shared copy costs?
A) Number of copies
B) Operating income
C) Either A or B
D) Neither A nor B
Correct Answer:
Verified
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