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Required information [The following information applies to the questions displayed below.] Caro Manufacturing has two production departments, Machining and Assembly, and two service departments, Maintenance
Required information [The following information applies to the questions displayed below.] Caro Manufacturing has two production departments, Machining and Assembly, and two service departments, Maintenance and Cafeteria. Direct costs for each department and the proportion of service costs used by the various departments for the month of August follow: Proportion of Services Used by Department Machining Direct Costs $97,000 Maintenance Cafeteria Machining Assembly Assembly 72,400 Maintenance 44,800 0.2 Cafeterial 36,000 0.8 0.5 0.1 0.3 0.1 Assume that both Machining and Assembly work on just two jobs during the month of August: CM-22 and CM-23. Costs are allocated to jobs based on machine-hours in Machining and labor-hours in Assembly. The number of labor- and machine-hours worked in each department are as follows: Machining Assembly Job CM-22: Machine-hours Labor-hours 360 60 50 40 Job CM-23: Machine-hours Labor-hours 20 30 30 340 Required: How much of the service department costs allocated to Machining and Assembly in the direct method should be allocated to Job CM- 22? How much should be allocated to Job CM-23? (Round "Department rate" to 2 decimal places and final answers to the nearest whole dollar.) Machining Assembly Job CM-22 Job CM-23
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