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Problem #1 Answer the following questions using the information below: Merriman Company provides the...

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Accounting

Problem #1
Answer the following questions using the information below:
Merriman Company provides the following ABC costing information:
\table[[Activities,Total Costs,Activity-cost drivers],[Account inquiry hours,$400,000,10,000 hours],[Account billing lines,$280,000,4,000,000 lines],[Account verification accounts,$150,000,40,000 accounts],[Correspondence letters,$50,000,4,000 letters],[Total costs,$880,000,]]
The above activities are used by Departments A and B as follows:
\table[[,Department A,,Department B],[Account inquiry hours,2,000 hours,,4,000 hours],[Account billing lines,400,000 lines,,200,000 lines],[Account verification accounts,10,000 accounts,8,000 accounts,],[Correspondence letters,1,000 letters,,1,600 letters]]
A. How much of the account inquiry cost will be assigned to Department A?
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