Marie Heltzel is manager of Department 7 in the Frankfurt, Germany, plant and has the authority to buy supplies, hire labor, and maintain equipment for the department. Costs in German marks for April 1998 are:

Required:
1. Identify costs that can be controlled by Marie Heltzel.
2. Identify costs that can be traced directly to Department 7.
3. Identify costs that might be allocated to Department 7 based on a cost driver.
Suggest a cost driver.

Transcribed Image Text:

Plant superintendent's salary. Plant heat and light.... Plant maintenance and repairs Equipment maintenance charges-Department 7 Supplies used-Department 7. Salary Marie Heitzel Labor cost-Department 7 Plant depreciation Equipment depreciation-Department 7 Total DM 8,000 3,200 1,700 2,600 1,400 2,500 14,600 3,000 2,300 DM39,300