At the Wild Cat Group Company, the cost of the library and information center has always been charged to the various departments based upon number
At the Wild Cat Group Company, the cost of the library and information center has always been charged to the various departments based upon number of employees. Recently, opinions gathered from the department managers indicate that the number of engineers within a department might be a better predictor of library and information center costs. Total library and information center costs are $215,000. Department A B C Number of employees 175 505 150 Number of engineers 5 85 35 If the number of engineers is considered the cost driver, what amount of library and information center costs will be allocated to Department A?
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