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Figure 7-2 Long Distance Company's Travel Department Had the Following Budgeted Costs

Question 70

Multiple Choice

Figure 7-2
Long Distance Company's travel department had the following budgeted costs for the coming year:
Figure 7-2 Long Distance Company's travel department had the following budgeted costs for the coming year:    West Sales Territory 100 trips Midwest Sales Territory 150 trips Southern Sales Territory 160 trips Eastern Sales Territory 140 trips -Refer to Figure 7-2. Using both a fixed and variable rate with fixed costs allocated on the basis of monthly peak trips, what will the West Sales Territory be charged for the year? (round to the nearest dollar)  A)  $31,498 B)  $21,320 C)  $29,492 D)  $30,638 E)  none of the above West Sales Territory 100 trips
Midwest Sales Territory 150 trips
Southern Sales Territory 160 trips
Eastern Sales Territory 140 trips
-Refer to Figure 7-2. Using both a fixed and variable rate with fixed costs allocated on the basis of monthly peak trips, what will the West Sales Territory be charged for the year? (round to the nearest dollar)


A) $31,498
B) $21,320
C) $29,492
D) $30,638
E) none of the above

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