Answer: C.$9,575
Calculations:
Indirect activity costs | / | Allocation Base | = | Allocation Rate | |
Account verification | $36,250 | / | 26,500 | = | $1.36792452830189 |
Accounts | x | Allocation Rate | = | Cost Assigned | |
Department P | 7,000 | x | $1.36792452830189 | = | $9,575 |
Thus, Option C is correct and remaining optons are incorrect.
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