Fans Company has two service departments - product design and engineering support, and two production departments - assembly and finishing. The distribution of each service department's efforts to the other departments is shown below: SERVICE DEPARTMENT Product Design Engineering Support Multiple Choice O C The direct operating costs of the departments (including both variable and fixed costs) were as follows: Product Design Engineering Support Assembly Finishing The total cost accumulated in the assembly department using the direct 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): $1,713,750. $2,890,000. Design 0% 20% $1,176.250. SERVICES PROVIDED TO Support 10 % 0% Assembly 30% 45% $ 240,000 $ 260,000 $ 950,000 $ 1,440,000 Finishing 60% 35%
Fans Company has two service departments - product design and engineering support, and two production departments - assembly and finishing. The distribution of each service department's efforts to the other departments is shown below: SERVICE DEPARTMENT Product Design Engineering Support Multiple Choice O C The direct operating costs of the departments (including both variable and fixed costs) were as follows: Product Design Engineering Support Assembly Finishing The total cost accumulated in the assembly department using the direct 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): $1,713,750. $2,890,000. Design 0% 20% $1,176.250. SERVICES PROVIDED TO Support 10 % 0% Assembly 30% 45% $ 240,000 $ 260,000 $ 950,000 $ 1,440,000 Finishing 60% 35%
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
![Fans Company has two service departments - product design and engineering support, and two production departments assembly and finishing. The distribution of each service department's efforts to the other departments is shown below:
SERVICE DEPARTMENT
Product Design
Engineering Support
Multiple Choice
$1,713,750.
The direct operating costs of the departments (including both variable and fixed costs) were as follows:
Product Design
Engineering Support
Assembly
Finishing
$2,890,000.
$1,176,250.
Design
0%
20%
$1,136,250.
The total cost accumulated in the assembly department using the direct 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):
$1,182,916.
SERVICES PROVIDED TO
Support
10%
0%
$ 240,000
$ 260,000
$ 950,000
$ 1,440,000
Assembly
30%
45%
Finishing
60%
35%
-](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F10782f59-14f3-4e8b-ab67-7a75796eb777%2F85da08db-b87e-4752-abec-2818a30cb92e%2Fi488wv_processed.png&w=3840&q=75)
Transcribed Image Text:Fans Company has two service departments - product design and engineering support, and two production departments assembly and finishing. The distribution of each service department's efforts to the other departments is shown below:
SERVICE DEPARTMENT
Product Design
Engineering Support
Multiple Choice
$1,713,750.
The direct operating costs of the departments (including both variable and fixed costs) were as follows:
Product Design
Engineering Support
Assembly
Finishing
$2,890,000.
$1,176,250.
Design
0%
20%
$1,136,250.
The total cost accumulated in the assembly department using the direct 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):
$1,182,916.
SERVICES PROVIDED TO
Support
10%
0%
$ 240,000
$ 260,000
$ 950,000
$ 1,440,000
Assembly
30%
45%
Finishing
60%
35%
-
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