Samson, Inc. reported the following information for the year: Service revenue Operating expenses Net income $40,000 $23,500 $16,500 No. of service provided for the year $9,000 How much was the unit cost per service? (Round your answer to the nearest cent.) a. $2.61. b. $7.06. c. $1.83. d. $4.44.
Samson, Inc. reported the following information for the year: Service revenue Operating expenses Net income $40,000 $23,500 $16,500 No. of service provided for the year $9,000 How much was the unit cost per service? (Round your answer to the nearest cent.) a. $2.61. b. $7.06. c. $1.83. d. $4.44.
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter7: Allocating Costs Of Support Departments And Joint Products
Section: Chapter Questions
Problem 30E: A company uses charging rates to allocate service department costs to the using departments. The...
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Transcribed Image Text:Samson, Inc. reported the following information for the year:
Service revenue
Operating expenses
Net income
$40,000
$23,500
$16,500
No. of service provided for the year $9,000
How much was the unit cost per service? (Round your answer to the
nearest cent.)
a. $2.61.
b. $7.06.
c. $1.83.
d. $4.44.
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