Perceptual distortions are the most likely to take place when the

99-Center Inc. is a retail store where all its merchandise is priced at 99 cents. This retailer uses a__________

Fill in the blanks with correct word.

Flannery Company, a manufacturer of small appliances, had the following activities, allocated costs, and allocation bases

Activities Allocated Costs Allocation Base Account inquiry (hours) $79,000 2,700 hours Account billing (lines) $45,000 16,000 lines Account verification (accounts) $16,000 20,000 accounts Correspondence (letters) $12,000 1,000 letters The above activities are carried out at two of its regional offices. Activities Northeast Office Midwest Office Account inquiry (hours) 180 hours 200 hours Account billing (lines) 10,000 lines 9,000 lines Account verification (accounts) 1,600 accounts 650 accounts Correspondence (letters) 60 letters 150 letters What is the cost per letter for the correspondence activity? (Round your answer to the nearest cent.) A) $12.00 B) $45.00 C) $4.44 D) $0.80