Bens Corporation has three service departments (Repairs, HR, and IT) and two production depart- ments (M1 and M2). The following usage data for each of the service departments for the previous period follow. Repairs HR IT M1 M2 Repairs.... 0% 0% 40% 60% HR.. 10% 20% 35% 35% IT. 0% 10% 20% 70% - The direct costs of the service Cepartments in the previous period were $20,000 for Repairs, $39,600 for HR. and $45.000 for IT.
Bens Corporation has three service departments (Repairs, HR, and IT) and two production depart- ments (M1 and M2). The following usage data for each of the service departments for the previous period follow. Repairs HR IT M1 M2 Repairs.... 0% 0% 40% 60% HR.. 10% 20% 35% 35% IT. 0% 10% 20% 70% - The direct costs of the service Cepartments in the previous period were $20,000 for Repairs, $39,600 for HR. and $45.000 for IT.
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter7: Allocating Costs Of Support Departments And Joint Products
Section: Chapter Questions
Problem 19E: Refer to the data in Exercise 7.18. When the capacity of the HR Department was originally...
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