Department a Had Total Sales of $84,000 and Department B

Taylor and King,CPAs installed a new computer system.When the needs of the various divisions were analyzed,it was determined that the Audit Division would require 40% of the capacity,the Tax Division would require 25% of the capacity,and the Business Consulting Division would require 35% of the capacity.The computer system will cost $240,000. How much of the computer system's cost will be allocated to the Business Consulting Division? A) $96,000. B) $60,000. C) $84,000. D) $80,000.

One department in a company had a contribution margin of $15,000 and a net loss from operations of $2,000.The indirect expenses allocated to this department would have been incurred whether or not the department existed.If this department had been eliminated,the company's reported net income would have been A) $2,000 higher. B) $15,000 lower. C) $13,000 lower. D) the same with or without the department.