Business, 24.04.2020 18:07 gabriella1232002

Benton Company is preparing its annual profit plan. As part of its analysis of the cost of its purchasing activity, management estimates that the $45,000 for purchasing support should be assigned to the individual vendors from the information given as follows:

Vendor A Vendor B
Units purchased 130,000 230,000
Purchase orders (annual) 7 28
Number of shipments received 21 84

What is the amount of the purchasing costs that should be allocated to Vendor A, assuming Benton uses units purchased to compute activity-based costs?

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Benton Company is preparing its annual profit plan. As part of its analysis of the cost of its purch...

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