Use the following information for the next 4 questions.
The accountants for Brock, Inc. are preparing the operating departments overhead budgets. The maintenance department direct costs are $12,000, and the administration department direct costs are $54,000. The following data have been collected about use of services: (based on number of employees)
-Use the reciprocal method. The cost of administration department after support cost allocations but before allocation to the operating departments is
A) $58,800
B) $60,800
C) $60,000
D) $59,368

Question

Use the following information for the next 4 questions.
The accountants for Brock, Inc. are preparing the operating departments overhead budgets. The maintenance department direct costs are $12,000, and the administration department direct costs are $54,000. The following data have been collected about use of services:  (based on number of employees)
-Use the reciprocal method. The cost of administration department after support cost allocations but before allocation to the operating departments is
A) $58,800 
B) $60,800 
C) $60,000 
D) $59,368

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The Answer of Use the following information for the next 4 questions.
The accountants for Brock, Inc. are preparing the operating departments overhead budgets. The maintenance department direct costs are $12,000, and the administration department direct costs are $54,000. The following data have been collected about use of services:  (based on number of employees)
-Use the reciprocal method. The cost of administration department after support cost allocations but before allocation to the operating departments is
A) $58,800 
B) $60,800 
C) $60,000 
D) $59,368

Use the Following Information for the Next 4 Questions