Forward buying.
Forward buying is where a customer will be incentivized to purchase more than they need or intended because of certain marketing or pricing initiatives, such as product promotions and quantity discounts (like bulk sales). This option allows the seller to front-load revenue earlier than usual, despite offering the products at a reduced cost through such initiatives and price fluctuations.
Answer:
D. $96,000
Explanation:
We will allocate the cost on maintenance by first stablishing a rate per maintenence hour:
As this is direct method we aren''t doing an allocation to other service department we directly allocate against production department A and B
total hours: 480 + 320 = 800
160,000 total cost /800 hours = 200 per hour
Department B hours: 480
allocate to department B: 480 x 200 = 96,000
Interpersonal communication
