Reference no: EM131598976

Question - Depreciation Expense on the Heating and Air Conditioning Equipment for the factory of $50,000 is allocated to five departments. The costminus -allocation base for this expense is the number of cubic feet, which equals100,000 cubic feet. Information for five departments is below:

Department                       Square Feet                       Cubic Feet

Department A                  15,000                                15,000

Department B                  5,000                                  5,000

Department C                  30,000                                20,000

Department D                  20,000                                35,000

Department E                   10,000                                25,000

How much Depreciation Expense is allocated to Department A?

A. $7,500

B. $15,000

C. $2,500

D. $18,750