Question
Annapolis Company has two service departments (Computer Operations & Maintenance Services).Annapolis has two production departments (Mixing Department & Packaging Department.)Annapolis uses a direct allocation method
Annapolis Company has two service departments (Computer Operations & Maintenance Services).Annapolis has two production departments (Mixing Department & Packaging Department.)Annapolis uses a direct allocation method where service departments are allocated only to production departments.All allocations are based on total employees.Computer Operations has costs of $195,000 andMaintenanceServices has costs of $100,000 before any allocations.What amount of Maintenance Services total cost is allocated to the Packaging Department?(round to closest whole dollar) Employees are:
Computer Operations3
Maintenance Services2
Mixing Department8
Packaging Department8
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