Zetong Manufacturers has two service departments, Maintenance and Personnel. Maintenance Department costs of $336,053 are...
50.1K
Verified Solution
Link Copied!
Question
Accounting
Zetong Manufacturers has two service departments, Maintenance and Personnel. Maintenance Department costs of $336,053 are allocated on the basis of budgeted maintenance-hours. Personnel Department costs of $194,250 are allocated based on the number of employees. The costs of operating departments A and B are $200,000 and $300,000, respectively. Data on budgeted maintenance-hours and number of employees are as follows:
Maintenance Department
Personnel Department
A
B
Budgeted costs
$336,053
$194,250
$200,000
$300,000
Budgeted maintenance-hours
NA
800
1,214
632
Number of employees
65
NA
280
630
Using the direct method, what amount of Maintenance Department costs will be allocated to Department A?
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
