Solution-What amount of Personal Department cost will

What amount of Personal Department cost will allocated

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Question - The costs of operating departments A and B are $160,000 and $240,000 respectively. Data on budgeted maintenance-hours and number of employees:

Support Departments Production Departments Maintenance Department Personnel Department

A B

Budgeted costs $300,000 $100,000 $160,000 $240,000

Budg maintenance-hrs NA 1000 600 400

Number of employees 40 NA 160 480

Using the step-down method, what amount of Personal Department cost will allocated to Department A and Depratment B?

a. none

b. 160,000 and 96,000

c. 62,500 and 187,500

d. 60.00 and 180,000

Reference no: EM132947242

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What amount of Personal Department cost will allocated

Reference no: EM132947242

Reference no: EM132947242

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