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Hernandez Company Makes Three Types of Products

Question 101

Multiple Choice

Hernandez Company makes three types of products.The company has two types of customers.The cost to serve all customers is $12,000 and is allocated to customer types based on the number of manager visits to customer locations.The following data are available: Hernandez Company makes three types of products.The company has two types of customers.The cost to serve all customers is $12,000 and is allocated to customer types based on the number of manager visits to customer locations.The following data are available: What is the operating income for all three products for Customer Type 1? A) $2,400 B) $5,850 C) $8,250 D) $9,600 Hernandez Company makes three types of products.The company has two types of customers.The cost to serve all customers is $12,000 and is allocated to customer types based on the number of manager visits to customer locations.The following data are available: What is the operating income for all three products for Customer Type 1? A) $2,400 B) $5,850 C) $8,250 D) $9,600 What is the operating income for all three products for Customer Type 1?


A) $2,400
B) $5,850
C) $8,250
D) $9,600

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