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: SERVICES PROVIDED TO SERVICE DEPARTMENT Design Support Assembly Finishing Product Design Engineering Support 10% 30% 60% 20% 45% 35% The direct operating costs of the departments (including both variable and fixed costs) were as follows: Product Design Engineering Support Assembly Finishing $ 192,000 $ 172,000 $ 582,000 $ 872,000 The total cost accumulated in the finishing department using the step method is (calculate all ratios and percentages to 4 decima places, for example 33.3333%, and round all dollar amounts to the nearest whole dollar assume that the engineering support department goes first): Multiple Cholce $1,083,133. $2018,000. $734.867. O $686.992 $1006.008.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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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:
SERVICES PROVIDED TO
SERVICE DEPARTMENT
Design
Support
Assembly
Finishing
Product Design
Engineering Support
0%
10%
30%
60%
20%
0%
45%
35%
The direct operating costs of the departments (including both variable and fixed costs) were as follows:
$ 192,000
$ 172,000
$ 582,000
$ 872,000
Product Design
Engineering Support
Assembly
Finishing
The total cost accumulated in the finishing 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 that the engineering support
department goes first):
Multiple Cholce
$1,083,133.
$2,018,000.
$734,867.
$686,992.
$1,006,008.
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: SERVICES PROVIDED TO SERVICE DEPARTMENT Design Support Assembly Finishing Product Design Engineering Support 0% 10% 30% 60% 20% 0% 45% 35% The direct operating costs of the departments (including both variable and fixed costs) were as follows: $ 192,000 $ 172,000 $ 582,000 $ 872,000 Product Design Engineering Support Assembly Finishing The total cost accumulated in the finishing 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 that the engineering support department goes first): Multiple Cholce $1,083,133. $2,018,000. $734,867. $686,992. $1,006,008.
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