The Hsu Manufacturing Company has two service departments: Maintenance and Accounting. The Maintenance Department's costs of $457,500 are allocated on the basis of machine hours. The Accounting Department's costs of $236,400 are allocated on the basis of the number of employees within a specific department. The direct departmental costs for A and B are $310,000 and $510,000, respectively. Machine hours Number of employees Maintenance 565 2 Multiple Choice Accounting 25 2 3,450 8 B 210 4 What is the cost of the Accounting Department's cost allocated to Department A using the step method and assuming the Maintenance Department's costs are allocated first? Note: Do not round intermediate calculations.
The Hsu Manufacturing Company has two service departments: Maintenance and Accounting. The Maintenance Department's costs of $457,500 are allocated on the basis of machine hours. The Accounting Department's costs of $236,400 are allocated on the basis of the number of employees within a specific department. The direct departmental costs for A and B are $310,000 and $510,000, respectively. Machine hours Number of employees Maintenance 565 2 Multiple Choice Accounting 25 2 3,450 8 B 210 4 What is the cost of the Accounting Department's cost allocated to Department A using the step method and assuming the Maintenance Department's costs are allocated first? Note: Do not round intermediate calculations.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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![3 & 16
TB MC Qu. 11-48 (Algo) The Hsu Manufacturing Company has two service...
Machine hours
Number of employees
Saved
The Hsu Manufacturing Company has two service departments: Maintenance and Accounting. The Maintenance Department's costs
of $457,500 are allocated on the basis of machine hours. The Accounting Department's costs of $236,400 are allocated on the basis
of the number of employees within a specific department. The direct departmental costs for A and B are $310,000 and $510,000,
respectively.
Maintenance
565
2
Multiple Choice
▸
Accounting
25
2
A
3,450
8
Help
B
210
4
What is the cost of the Accounting Department's cost allocated to Department A using the step method and assuming the
Maintenance Department's costs are allocated first?
Note: Do not round intermediate calculations.
Save & Exit
Submit](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fbbccddac-69bc-4c37-91d2-9cbcfbea955f%2F1030e2bb-f50a-465a-b597-ce7f1ea679e6%2Faelcgoo_processed.jpeg&w=3840&q=75)
Transcribed Image Text:3 & 16
TB MC Qu. 11-48 (Algo) The Hsu Manufacturing Company has two service...
Machine hours
Number of employees
Saved
The Hsu Manufacturing Company has two service departments: Maintenance and Accounting. The Maintenance Department's costs
of $457,500 are allocated on the basis of machine hours. The Accounting Department's costs of $236,400 are allocated on the basis
of the number of employees within a specific department. The direct departmental costs for A and B are $310,000 and $510,000,
respectively.
Maintenance
565
2
Multiple Choice
▸
Accounting
25
2
A
3,450
8
Help
B
210
4
What is the cost of the Accounting Department's cost allocated to Department A using the step method and assuming the
Maintenance Department's costs are allocated first?
Note: Do not round intermediate calculations.
Save & Exit
Submit
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