Slewah Corporation has two main production departments, Cameras and Batteries. The company also has two service departments, the Human Resources department and the Information Technology department. The budgeted costs in the two service departments, Human Resources and Information Technology, are £550,000 and £350,000 respectively. Slewah Corporation allocates the costs of the Human Resources department first when using the step-down method. The usage of these two service departments' output for the year is as follows: a. User of Service Human Resources Information Technology d. Cameras Batteries £276,000 b. £0 C. £220,000 Provider of Service £250,000 Human Resources 20% 40% 40% Information Technology If Slewah Corporation uses the step-down method to allocate the budgeted costs of the Information Technology department, what would be the budgeted cost allocated to the Cameras department? Round the answer to the nearest £. 50% 1 30% 20%
Slewah Corporation has two main production departments, Cameras and Batteries. The company also has two service departments, the Human Resources department and the Information Technology department. The budgeted costs in the two service departments, Human Resources and Information Technology, are £550,000 and £350,000 respectively. Slewah Corporation allocates the costs of the Human Resources department first when using the step-down method. The usage of these two service departments' output for the year is as follows: a. User of Service Human Resources Information Technology d. Cameras Batteries £276,000 b. £0 C. £220,000 Provider of Service £250,000 Human Resources 20% 40% 40% Information Technology If Slewah Corporation uses the step-down method to allocate the budgeted costs of the Information Technology department, what would be the budgeted cost allocated to the Cameras department? Round the answer to the nearest £. 50% 1 30% 20%
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter10: Evaluating Decentralized Operations
Section: Chapter Questions
Problem 6E: Varney Corporation, a manufacturer of electronics and communications systems, allocates Computing...
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