menu
Sign up

(Appendix 11a)assume That the Company Uses the Step-Down Method of Allocating

Question 77
Multiple Choice

(Appendix 11A)Assume that the company uses the step-down method of allocating Service Department costs to Operating Departments,and Building and Grounds costs are allocated first.How much Personnel Department cost would be allocated to Operating Department A? A) $0. B) $90,000. C) $92,430. D) $205,400.

Related questions
Q 78
(Appendix 11A)Assume that the company uses the step-down method of allocating Service Department costs to Operating Departments,and Building and Grounds costs are allocated first.How much Personnel Department cost would be allocated to Operating Department B? A) $0. B) $107,368. C) $107,590. D) $112,970.
Q 79
(Appendix 11A)Assume again that the company uses the step-down method.What would be the total amount of cost allocated from the two Service Departments to the Operating Departments for the year? A) $254,000. B) $850,000. C) $1,450,000. D) $1,704,000.
Q 80
The following data are available for the South Division of Redride Products,Inc.and the single product it makes: How many units must South sell each year to have an ROI of 16%? A) 52,000 units. B) 65,000 units. C) 240,000 units. D) 1,300,000 units.Note: Students will need to have an understanding of CVP analysis from chapter 4.
logo
© 2020 QuizPlus. All Right Reserved