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)
-Using the reciprocal method, the allocation from the maintenance department to Op1 department is
A) $6,000
B) $13,600
C) $13,421
D) $12,000
Correct Answer:
Verified
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