A company incurred $120,000 of common fixed costs and $180,000 of common variable costs. These costs are to be allocated to Departments XX and YY. Data on capacity provided and capacity used are as follows:
Assume that both fixed and variable costs are allocated on the basis of capacity used. The fixed and variable costs
Allocated to Department XX are
Fixed Variable
A) $75,000 $112,500
B) $75,000 $90,000
C) $60,000 $112,500
D) $60,000 $90,000
Correct Answer:
Verified
Q63: If the allocation is for performance evaluation,
Q70: Figure 7-2
Long Distance Company's travel department had
Q71: FIGURE 7-4
Copies Plus Print operates a copy
Q72: FIGURE 7-5
Stronghold, Inc., operates a brochure business
Q73: FIGURE 7-5
Stronghold, Inc., operates a brochure business
Q74: Figure 7-2
Long Distance Company's travel department had
Q76: FIGURE 7-4
Copies Plus Print operates a copy
Q77: FIGURE 7-4
Copies Plus Print operates a copy
Q79: Figure 7-3
Hanover and Trust, a large law
Q80: Figure 7-3
Hanover and Trust, a large law
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