Castle Company has two service departments and two producing departments.The number of employees in each department is: The department costs of the Personnel Department are allocated on a basis of the number of employees.If these costs are budgeted at $37,125 during a given period,the amount of cost allocated to Department B under the direct method would be:
A)$0.
B)$17,187.50.
C)$16,875.00.
D)$18,021.84.

Question

Castle Company has two service departments and two producing departments.The number of employees in each department is:  The department costs of the Personnel Department are allocated on a basis of the number of employees.If these costs are budgeted at $37,125 during a given period,the amount of cost allocated to Department B under the direct method would be:
A)$0. 
B)$17,187.50. 
C)$16,875.00. 
D)$18,021.84.

Quizplus · Accepted Answer

The Answer of Castle Company has two service departments and two producing departments.The number of employees in each department is:  The department costs of the Personnel Department are allocated on a basis of the number of employees.If these costs are budgeted at $37,125 during a given period,the amount of cost allocated to Department B under the direct method would be:
A)$0. 
B)$17,187.50. 
C)$16,875.00. 
D)$18,021.84.

Castle Company Has Two Service Departments and Two Producing Departments