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Part 2 -- Answer questions (9-11) (3 Points) PETRA Corp has two service departments, Maintenance and Personnel. Maintenance Department costs of $450,000 are allocated on
Part 2 -- Answer questions (9-11) (3 Points) PETRA Corp has two service departments, Maintenance and Personnel. Maintenance Department costs of $450,000 are allocated on the basis of budgeted maintenance-hours. Personnel Department costs of $150,000 are allocated based on the number of employees. The costs of operating departments A and B are $240,000 and $360,000, respectively. Data on budgeted maintenance-hours and number of employees are as follows: Budgeted costs Budgeted maintenance-hours Number of employees Support Departments Maintenance Personnel Department Department $450,000 $150,000 NA 1,200 75 NA Production Departments A B $240,000 $360,000 1,800 900 300 900 Q. Using the direct method, what amount of Personnel Department costs will be allocated to Department B? 120000 115500 123000 112500
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