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38) Stoltz Corporation uses the direct method to allocate service department costs to operating departments. The company has two service departments, Data Processing and Personnel,
38) Stoltz Corporation uses the direct method to allocate service department costs to operating departments. The company has two service departments, Data Processing and Personnel, and two operating departments, Assembly and Finishing. ratin Data Processing Assembly Finishing Departmental costs Computer workstations Employees $26,488 S18,630 S188,980 $506,960 41 35 37 35 45 46 12 Data Processing Department costs are allocated on the basis of computer workstations and Personnel Department costs are allocated on the basis of employees. The total amount of Data Processing Department cost allocated to the two operating departments is closest to: A)S61,567 B)$26,488 C)$23,24 D) S16,874 9) Yamane Corporation, a manufacturer, uses the step-down method to allocate service department costs to operating departments. The company has two service departments, Administration and Facilities, and two operating departments, Assembly and Finishing. Data concerning those departments follow Service Departments Operating Departments Administration Facilities Assembly Finishing Departmental costs Labor hours Space occupied 22,620 67,440 S 105,520 S 427,780 3,000 2,000 2,000 16,000 7,000 ,000 32,000 3,000 Administration Department costs are allocated first on the basis of labor hours and Facilities Department costs are allocated second on the basis of space occupied. In the first step of the allocation, the amount of Administration Department cost allocated to the Assembly Department is closest to: A) S12,180 B)$4,476 C)S12,838 D)S1,310
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