The Merchant Manufacturing Company has two service departments - purchasing and maintenance, and two production departments -fabrication and assembly. The distribution of each service department's efforts to the other departments is shown below. FROM Purchasing Maintenance Purchasing Maintenance Fabrication Assembly The direct operating costs of the departments (including both variable and fixed costs) were as follows: Multiple Choice O O Purchasing Maintenance Fabrication 0% 30 % 70% 0 % 20 % 55 % 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): O $123,000 45,000 99,000 75,000 $216,357. $123,600. TO $94,800. $125,643. Assembly 10 % 15 % $63,643.

The Merchant Manufacturing Company has two service departments - purchasing and maintenance, and two production departments -fabrication and assembly. The distribution of each service department's efforts to the other departments is shown below. FROM Purchasing Maintenance Purchasing Maintenance Fabrication Assembly The direct operating costs of the departments (including both variable and fixed costs) were as follows: Multiple Choice O O Purchasing Maintenance Fabrication 0% 30 % 70% 0 % 20 % 55 % 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): O $123,000 45,000 99,000 75,000 $216,357. $123,600. TO $94,800. $125,643. Assembly 10 % 15 % $63,643.

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter6: Activity-based, Variable, And Absorption Costing

Section: Chapter Questions

Problem 5PA: Medical Tape makes two products: Generic and Label. It estimates it will produce 423,694 units of...

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