Marks Corporation has two operating departments, Drilling and Grinding, and an office. The three categories of office expenses are allocated to the two departments using different allocation bases. The following information is available for the current period: The amount of depreciation that should be allocated to Drilling for the current period is:
A) $20,000.
B) $25,000.
C) $7,500.
D) $12,500.
E) $40,000.

Question

Marks Corporation has two operating departments, Drilling and Grinding, and an office. The three categories of office expenses are allocated to the two departments using different allocation bases. The following information is available for the current period:   The amount of depreciation that should be allocated to Drilling for the current period is:
A) $20,000. 
B) $25,000. 
C) $7,500. 
D) $12,500. 
E) $40,000.

Quizplus · Accepted Answer

11eaadfd_ccac_f710_95d8_6d9501159425_TB6948_00

Marks Corporation Has Two Operating Departments, Drilling and Grinding, and an Office