Historically, The Travel Club has distributed advertising costs to its resort sites in Europe on the basis of the size of the resort budget. For this year, in round numbers, the budgets and allocation...

Extracted text: Historically, The Travel Club has distributed advertising costs to its resort sites in Europe on the basis of the size of the resort budget. For this year, in round numbers, the budgets and allocation of $1 million advertising indirect costs are as follows to the four sites: Site 1 3 4 Budget, $ Allocation, $ 2 million 200,000 3 million 300,000 4 million 400,000 1 million 100,000 Site 1 Guests 3925 3625 7700 850 Determine the allocation if the ABC method is used with a new basis. Define the activity as the advertising department at each resort. The cost driver is the number of guests during the year. Site 1 2 4 Guests 3925 3625 7700 850 The allocation for site 1 is $ The allocation for site 2 is $ The allocation for site 3 is $ The allocation for site 4 is $ .