Question
ABC Company makes two products, fig bars & granola bars. Fig bars are made by Department F and granola bars are made by Department G.
ABC Company makes two products, fig bars & granola bars. Fig bars are made by Department F and granola bars are made by Department G. ABC Company has provided the following data associated with these two products: Salary for supervisor of Department F $67,000 Salary for supervisor of Department G $57,000 Salary for plant manager $32,200 Factory utilities $21,000 Materials used for fig bars $25,000 Materials used for granola bars $43,000 Machine hours for Department F 310 Machine hours for Department G 450 Number of fig bars produced 1,700 Number of granola bars produced 1,300
If machine hours is used as the cost driver, how much indirect cost will be allocated to Department F? Round answer to nearest whole dollar.
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