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Help Warren Corporation uses the direct method to allocate their costs. They have two service departments and two production departments that have the following characteristics:
Help Warren Corporation uses the direct method to allocate their costs. They have two service departments and two production departments that have the following characteristics: Save & Departments Fabrication Assembly Logisitics Maintenance Type Production Production Service Service Costs $185.000 $350,000 $42.000 $86,000 Cost Driver Machine hours Labor hours Pounds Square feet The department with the lowest cost is allocated first. The cost driver usage data was Fabrication 12.500 Assembly 7,500 Logistics 1.250 Maintenance 3.750 Machine hours Labor hours Pounds Square feet 19.500 39.000 26,000 29.250 117.000 39,000 3.250 26.000 28.600 13,000 78.000 36.400 The total cost allocated from the Logistics department to the Assembly Department is closest to do not round fractions/percentages. round total costs to zero decimal places) O $31,500 $21.000 $9.947 $25 200
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