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Question 4 Not yet saved Marked out of 1.00 Flag question The Medalina Company has 4 departments in its factory consisting of two service departments
Question 4 Not yet saved Marked out of 1.00 Flag question The Medalina Company has 4 departments in its factory consisting of two service departments S1 and 52, and two production departments P1 and P2. Each of the production departments produce a single product. The current costs of each department are: S1 $84,000 S2 $63,000 P1 $90,000 P2 $120,000 The distribution and consumption of departments' services is given as follows: Service provided to: S1 S2 P1 P2 Services provided by: S1 40% 25% 35% S2 10% 70% 20% Using direct method, how much costs will be allocated from S2 to P2? A. $16,200 B. $12,000 c. $13,667 D. $14,000
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