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MC Qu 23 The Western and Pacific Railroad has two div. track Pentinent deoto for

ID: 2587400 • Letter: M

Question

MC Qu 23 The Western and Pacific Railroad has two div. track Pentinent deoto for the t The Westem and Pacific Reilroad has two divisions, the Western Division and the Pacific Division.The company recerty Invested $8.000,000 to maintain its ratro divisions are es folows Total Mies Traveled Western Division Pacific Division The amount of treck improvement cost that should be affoceted to the Westerm Division s (0s not round yourmedat 800,000 miles 1,200000 miles celcletons O $4000000 O $3200.000 O $800000 O s5333 33

Explanation / Answer

Total miles=(800,000+1,200,000)=2,000,000 miles

Hence cost to be allocated to Western division=(800,000/2,000,000)*$8,000,000

=$3,200,000(B)