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AS soon as possible Hanung Corp has two service departments, Maintenance and Personnel. Maintenance Department costs of $300,000 are allocated on the basis of budgeted
AS soon as possible
Hanung Corp has two service departments, Maintenance and Personnel. Maintenance Department costs of $300,000 are allocated on the basis of budgeted maintenance-hours. Personnel Department costs of $190,000 are allocated based on the number of employees. The costs of operating departments A and B are $200,000 and $300,000, respectively. Data on budgeted maintenance-hours and number of employees are as follows: Budgeted costs Budgeted maintenance- hours Number of employees Maintenance Personnel Department Department A) $334,211 B) $207,211 Support Departments C) $196,721 $300,000 $190,000 $200,000 $300,000 D) $133,684 810 Production Departments A 1200 65 Using the direct method, what amount of Maintenance Department costs will be allocated to Department A? (Do not round any intermediary calculations.) B 280 630 630Step by Step Solution
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