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 400,000 to 600,000 copies:
Budgeted long-run usage in copies per year:
Budgeted amounts are used to calculate the allocation rates.
Actual usage for the year by the Marketing Department was 120,000 copies and by the Operations Department was 380,000 copies.If a dual-rate cost-allocation method is used,what amount of copying facility costs will be budgeted for the Operations Department?
A) $65,100
B) $68,600
C) $64,140
D) $67,640
Correct Answer:
Verified
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