Better Health Company has two service departments-actuarial and premium rating, and two operations departments-marketing and sales. The distri department's efforts to the other departments is shown below: FROM Actuarial Rating TO Actuarial 0% 25% Actuarial Premium Rating Marketing Sales Rating 40% 0% Marketing 20% 37.5% The direct operating costs of the departments (including both variable and fixed costs) were as follows: $70,000 $ 40,000 $70,000 $ 80,000 Sales 40% 37.5% The total cost accumulated in the marketing department using the step method is (calculate all ratios and percentages to 4 decimal places, for example 33.3333%, and round all dollar amounts to the nearest whole dollar, assume the actuarial department goes first): A. $114,000. B. $118,000. C. $142,000. D. $146,000. E. $151,000.

Better Health Company has two service departments-actuarial and premium rating, and two operations departments-marketing and sales. The distri department's efforts to the other departments is shown below: FROM Actuarial Rating TO Actuarial 0% 25% Actuarial Premium Rating Marketing Sales Rating 40% 0% Marketing 20% 37.5% The direct operating costs of the departments (including both variable and fixed costs) were as follows: $70,000 $ 40,000 $70,000 $ 80,000 Sales 40% 37.5% The total cost accumulated in the marketing department using the step method is (calculate all ratios and percentages to 4 decimal places, for example 33.3333%, and round all dollar amounts to the nearest whole dollar, assume the actuarial department goes first): A. $114,000. B. $118,000. C. $142,000. D. $146,000. E. $151,000.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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