Use the following information for the next 2 questions.
Cervantes Industries provides an in-house cafeteria for production and administrative employees. This service costs $25,000 per month, plus $3 per meal served. The company has 800 production employees and 400 administrative employees. During the past month 5,500 meals were served to production employees and 2,000 to administrative.
-The amount of cost allocated to the administrative department using actual meals served as the basis is
A) $16,675
B) $12,667
C) $14,325
D) $18,500

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The Answer of Use the following information for the next 2 questions.
Cervantes Industries provides an in-house cafeteria for production and administrative employees. This service costs $25,000 per month, plus $3 per meal served. The company has 800 production employees and 400 administrative employees. During the past month 5,500 meals were served to production employees and 2,000 to administrative.
-The amount of cost allocated to the administrative department using actual meals served as the basis is
A) $16,675
B) $12,667
C) $14,325
D) $18,500

Use the Following Information for the Next 2 Questions