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Author Question: The Charmatz Corporation has a central copying facility. The copying facility has only two users, ... (Read 93 times)

saraeharris

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The Charmatz Corporation has a central copying facility. The copying facility has only two users, the Marketing Department and the Operations Department. The following data apply to the coming budget year:

Budgeted costs of operating the copying facility
for 300,000 to 500,000 copies
:
Fixed costs per year$69,000
Variable costs3 cents (0.03) per copy
Budgeted long-run usage in copies per year:
Marketing Department100,000 copies
Operations Department360,000 copies

Budgeted amounts are used to calculate the allocation rates.

Actual usage for the year by the Marketing Department was 70,000 copies and by the Operations Department was 330,000 copies. If a single-rate cost-allocation method is used, what amount of copying facility costs will be allocated to the Marketing Department? Assume actual usage is used to allocate copying costs. (Do not round interim calculations and round the final calculation to the nearest dollar.)
◦ $20,250
◦ $18,000
◦ $12,600
◦ $2100


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Marked as best answer by saraeharris on Mar 6, 2021

momolu

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saraeharris

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Reply 2 on: Mar 6, 2021
Great answer, keep it coming :)


nguyenhoanhat

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Reply 3 on: Yesterday
Wow, this really help

 

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