The Document Creation Center (DCC) for Arlington Corp. provides photocopying and document services for three departments in the Minneapolis office. The following budget has been prepared for the year. Available capacity 9,400,000 pages Budgeted usage: Software Development 2,460,000 pages Training 3,600,000 pages Management 2,940,000 pages Cost equation $307,000 + $0.06 per page If DCC uses a dual-rate for allocating its costs based on usage, how much cost will be allocated to the Management Department? Multiple Choice $247,887. $276,687. $256,878. $130,829.
The Document Creation Center (DCC) for Arlington Corp. provides photocopying and document services for three departments in the Minneapolis office. The following budget has been prepared for the year. Available capacity 9,400,000 pages Budgeted usage: Software Development 2,460,000 pages Training 3,600,000 pages Management 2,940,000 pages Cost equation $307,000 + $0.06 per page If DCC uses a dual-rate for allocating its costs based on usage, how much cost will be allocated to the Management Department? Multiple Choice $247,887. $276,687. $256,878. $130,829.
Financial And Managerial Accounting
15th Edition
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter24: Evaluating Decentralized Operations
Section: Chapter Questions
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The Document Creation Center (DCC) for Arlington Corp. provides photocopying and document services for three departments in the Minneapolis office. The following budget has been prepared for the year.
| Available capacity | 9,400,000 | pages |
| Budgeted usage: | ||
| Software Development | 2,460,000 | pages |
| Training | 3,600,000 | pages |
| Management | 2,940,000 | pages |
| Cost equation | $307,000 + $0.06 | per page |
If DCC uses a dual-rate for allocating its costs based on usage, how much cost will be allocated to the Management Department?
Multiple Choice
-
$247,887.
-
$276,687.
-
$256,878.
-
$130,829.
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