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ABC Corporation has three service departments with the following costs and cost drivers: Service Department Cost Cost Driver Graphics Production $200,000 Number of copies
ABC Corporation has three service departments with the following costs and cost drivers: Service Department Cost Cost Driver Graphics Production $200,000 Number of copies made 500,000 Number of invoices Accounting processed Personnel 400,000 Number of employees ABC has three operating divisions, Micro, Macro and Super. Their revenue, cost, and activity information is as follows: Micro Macro Super Revenues $700,000 $850,000 $650,000 Direct operating expenses $50,000 $70,000 $100,000 Number of copies made 20,000 30,000 50,000 Number of invoices processed 700 800 500 Number of employees 130 145 125 What are the total service department allocations to the Super Division? $550,000 $125,000 $100,000 $350,000
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