2 10 points eBook Print References Problem 11-18 (Algo) Service Department Charges [LO11-4] Tasman Products has a Maintenance Department that services equipment in the company's Forming Department and Assembly Department. The cost of this servicing is charged to the operating departments based on machine-hours. Data for the Maintenance Department follow: Variable costs for lubricants Fixed costs for salaries and other *Budgeted at $22 per machine-hour. Data for the Forming and Assembly Departments follow: Forming Department Assembly Department Total Budget $ 334,400* $ 205,000 Percentage of Peak- Period Capacity Required 60% 40% 100% questic Machine-Hours Budget 9,800 5,400 15,200 Actual $ 428,720 $ 220,500 Actual 11,800 4,400 16,200 The amount of fixed costs in the Maintenance Department is determined by peak-period requirements. Required: 1. How much Maintenance Department cost should be charged to the Forming Department and to the Assembly Department? 2. How much, if any, of the Maintenance Department's actual costs should be treated as a spending variance and not charged to the Forming and Assembly departments? by entering your answers in the tabs below.

Problem 11-18 (Algo) Service Department Charges [LO11-4] Oxpartinent. The cost of this servicing is charged to the operating depentments bosed on machine-bours. Data for the Maintecence Deportment follow: "Budgeted at 522 permachine-hour. The amount of fincd costs in the Maintenance Department is determined by peak-perfod requirements. Beculent: Forming and Assemoly departments