Doug Dandy Auto Sales uses all types of media to advertise its products (tolovision, radio, nowspaper, Intornot and so on) Al the f the managers had done this same advortising on their own their advertising costs would be as folows end of 2016, the compeny president, Doug Douglas, decided that all advertising costs woukd be incurred by corporate headquarters and allocated to eech of the company's four sales locations based on numbor of vehicles sold (Click the icon to view the advertising information) O (Cick the con to view the data) A (Click the icon to view information about the east sales location) Read the requirements . Requirement 1. Show the amount of the 2017 advertising cost ($1,400,000) that would be allocated to each of the divisions under the folowing cnteria (a) Douglas allocation method based on number of cars sold, (b) the stand-alone method if divsions had done their own advertising, (C) the incremental-allocation method, with divisions ranked on the basis of dollars they would have spent on advertising in 2017 (Do not round intermedary caculations Round the fnal enswer to the nearest whole dollar Enter e "o for amount with a zero values. ) (c.) Cost Allocated Cost Allocated Cost Allocated (a.) (b.) O Data Table - X Sales Location East 476.000 S 196,000 West 182,000 364 000 Advertising Costs in 2017 if Divisions Had Bought the Advertising Actual Number of North 336,000 406,000 Sales Location Cars Sold in 2017 Soufh 406,000 434.000 East 2,720 S 306 600 1400 000 S 1.400.000 West 1,040 569 400 North 1.920 635 100 2.320 678 900 South 8.000 S 2.190 000 Total Print Done Enter any number in the edit fields and then click Check Answer.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Doug Dandy Auto Sales uses all types of media to advertise its products (television, radio, newspaper, Intornet and so on). At the
end of 2016, the company president, Doug Douglas, decided that all advertising costs would be incurred by corporate
headquarters and allocated to each of the company's four sales locations based on number of vehicles sołd.
O (Click the icon to view the advertising information.)
If the managers had done this same advertising on their own their advertising costs would be as folows
E (Click the icon to view tho data.)
(Click the icon to view information about the east sales location)
Read the requirements.
Requirement 1. Show the amount of the 2017 advertising cost ($1,400,000) that would be allocated to each of the divisions under the following criteria: (a) Douglas' allocation method based on number of cars sold, (b) the stand-alone method if divisions had
done their own advertising, (c) the incremental-allocation method, with divisions renked on the basis of dollars they would have spent on advertising in 2017 (Do not round intermediary calculations Round the final answer to the nearest whole dollar. Enter a "O
for amount with a zero values)
(a.)
(b.)
(c.)
- X
Data Table
Sales Location
Cost Allocated
Cost Allocated
Cost Allocated
East
476,000 $
196,000
West
182,000
364,000
Advertising Costs in 2017 if Divisions
Had Bought the Advertising
Actual Number of
North
336,000
406,000
Sales Location
Cars Sold in 2017
406,000
434.000
East
2,720 $
306 600
South
1.400.000 $
1.400,000
West
1,040
569 400
North
1,920
635,100
2,320
678 900
South
8,000 S
2,190,000
Total
Print
Done
Enter any number in the edit fields and then click Check Answer.
Transcribed Image Text:I Download Doug Dandy Auto Sales uses all types of media to advertise its products (television, radio, newspaper, Intornet and so on). At the end of 2016, the company president, Doug Douglas, decided that all advertising costs would be incurred by corporate headquarters and allocated to each of the company's four sales locations based on number of vehicles sołd. O (Click the icon to view the advertising information.) If the managers had done this same advertising on their own their advertising costs would be as folows E (Click the icon to view tho data.) (Click the icon to view information about the east sales location) Read the requirements. Requirement 1. Show the amount of the 2017 advertising cost ($1,400,000) that would be allocated to each of the divisions under the following criteria: (a) Douglas' allocation method based on number of cars sold, (b) the stand-alone method if divisions had done their own advertising, (c) the incremental-allocation method, with divisions renked on the basis of dollars they would have spent on advertising in 2017 (Do not round intermediary calculations Round the final answer to the nearest whole dollar. Enter a "O for amount with a zero values) (a.) (b.) (c.) - X Data Table Sales Location Cost Allocated Cost Allocated Cost Allocated East 476,000 $ 196,000 West 182,000 364,000 Advertising Costs in 2017 if Divisions Had Bought the Advertising Actual Number of North 336,000 406,000 Sales Location Cars Sold in 2017 406,000 434.000 East 2,720 $ 306 600 South 1.400.000 $ 1.400,000 West 1,040 569 400 North 1,920 635,100 2,320 678 900 South 8,000 S 2,190,000 Total Print Done Enter any number in the edit fields and then click Check Answer.
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