Use this information to answer the following Questions
Trek, Inc. has two service departments (Human Resources and Building Maintenance) and two production departments (Machining and Assembly). The company allocates Building Maintenance cost on the basis of square footage and believes that Building Maintenance provides more service than Human Resources. The square footage occupied by each department follows.

-Assuming use of the direct method, over how many square feet would the Building Maintenance cost be allocated (i.e., spread)?
A) 18,000.
B) 48,000.
C) 55,000.
D) 66,000.
E) More information is needed to judge.

Question

Use this information to answer the following Questions
Trek, Inc. has two service departments (Human Resources and Building Maintenance) and two production departments (Machining and Assembly). The company allocates Building Maintenance cost on the basis of square footage and believes that Building Maintenance provides more service than Human Resources. The square footage occupied by each department follows.

-Assuming use of the direct method, over how many square feet would the Building Maintenance cost be allocated (i.e., spread)?
A) 18,000. 
B) 48,000. 
C) 55,000. 
D) 66,000. 
E) More information is needed to judge.

Quizplus · Accepted Answer

The Answer of Use this information to answer the following Questions
Trek, Inc. has two service departments (Human Resources and Building Maintenance) and two production departments (Machining and Assembly). The company allocates Building Maintenance cost on the basis of square footage and believes that Building Maintenance provides more service than Human Resources. The square footage occupied by each department follows.

-Assuming use of the direct method, over how many square feet would the Building Maintenance cost be allocated (i.e., spread)?
A) 18,000. 
B) 48,000. 
C) 55,000. 
D) 66,000. 
E) More information is needed to judge.

Use This Information to Answer the Following Questions