Account verification cost allocated = $20,000
Allocation base = 24,000 accounts
Account verification cost per account = Account verification cost allocated/Number of accounts
= 20,000/24,000
= $0.83
Account verification cost to be assigned to Northeast office = Number of accounts x Account verification cost per account
= 1,800 x 0.83
= $1,494
Hence, correct option is (B)
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Account inquiry (hours) Account billing (lines) Account verification (accounts) Correspondence (letters) The above activities are carried...
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