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ABC Corporation has three service departments with the following costs and activity base: Service Department Graphics Production Cost $200,000 Activity Base for Allocation number of
ABC Corporation has three service departments with the following costs and activity base: Service Department Graphics Production Cost $200,000 Activity Base for Allocation number of coples Accounting 500,000 number of invoices processed Personnel Department 400,000 number of employees ABC has three operating divisions, Micro, Macro and Super. Their revenue, cost and activity information are as follows: Direct revenues Direct operating expenses Number of copies made Number of invoices processed Number of employees Micro $700,000 50,000 20,000 700 Macro $950,000 20,000 30,000 300 Super $650,000 100,000 50,000 SOD 145 125 What will the income of the Macro Division be after all service department allocations
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