Required information Problem 11-64 (Static) Allocate Service Department Costs: Ethical Issues ( LO 11-2, 3, 4) [The following information applies to the questions displayed below.] Fifth Street Publishing (FSP) was founded many years ago as a printing cooperative offering printing services to members. Most members were charitable and religious organizations. Ten years ago, FSP became a for-profit corporation, although it retained its commitment to the original member groups. It has two production departments, Member and Commercial. The Member Department handles printing jobs for nonprofit groups and Commercial serves the remaining customers. FSP is organized this way to facilitate its billing: FSP charges nonprofit customers a price equal to the full cost of the job, including allocated overhead; commercial jobs are priced based on what the market will bear. FSP has two service departments, Accounting and Computer Services (CS). Accounting costs are allocated based on number of employees, and CS costs are allocated based on computer time (hours). Selected percentage use data follow: roblem 11-64 (Static) Part c oose the correct statement(s) from below (Select all that apply): Check All That Apply If It is done simply to shift cost to the one department, it seems to be unethical. If It is done simply to shift cost to the one department, It doesn't seem to be unethical. If the accounting staff has more paperwork because of the higher wages, then this request is unethical. If the accounting staff has more paperwork because of the higher wages, then this request is not unethical. Required information Problem 11-64 (Static) Allocate Service Department Costs: Ethical Issues ( LO 11-2, 3, 4) [The following information applies to the questions displayed below.] Fifth Street Publishing (FSP) was founded many years ago as a printing cooperative offering printing services to members. Most members were charitable and religious organizations. Ten years ago, FSP became a for-profit corporation, although it retained its commitment to the original member groups. It has two production departments, Member and Commercial. The Member Department handles printing jobs for nonprofit groups and Commercial serves the remaining customers. FSP is organized this way to facilitate its billing: FSP charges nonprofit customers a price equal to the full cost of the job, including allocated overhead; commercial jobs are priced based on what the market will bear. FSP has two service departments, Accounting and Computer Services (CS). Accounting costs are allocated based on number of employees, and CS costs are allocated based on computer time (hours). Selected percentage use data follow: roblem 11-64 (Static) Part c oose the correct statement(s) from below (Select all that apply): Check All That Apply If It is done simply to shift cost to the one department, it seems to be unethical. If It is done simply to shift cost to the one department, It doesn't seem to be unethical. If the accounting staff has more paperwork because of the higher wages, then this request is unethical. If the accounting staff has more paperwork because of the higher wages, then this request is not unethical
