Beta Company Is Preparing Its Annual Profit Plan

Multiple Choice

Beta Company is preparing its annual profit plan.As part of its analysis of the profitability of its customers,management estimates that the $12,000 for sales support should be assigned to the individual customers from the information given as follows: What is the amount of the sales support costs that should be allocated to Customer A,assuming Beta uses purchases orders to compute activity-based costs?

A) $2,400.
B) $4,000.
C) $8,000.
D) $9,600.