Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Service Department Allocations and Cost Drivers Middler Corporation, a manufacturer of electronics and communications systems, allocates Computing and Communications Services (CCS) service department costs to

image text in transcribedimage text in transcribed

Service Department Allocations and Cost Drivers Middler Corporation, a manufacturer of electronics and communications systems, allocates Computing and Communications Services (CCS) service department costs to profit centers. The following table lists service categories and cost drivers used by the CCS department. The table also includes cost and cost drivers for each service for October. CCS Service Budgeted Cost Driver Quantity Category Budgeted Cost Cost Driver Help desk Number of calls $155,520 3,600 Network center Number of devices monitored 573,125 8,750 Electronic mail Number of user accounts 48,800 6,100 Number of handheld devices Handheld technology support 104,960 8,200 issued One of the profit centers for Middler Corporation is the Communication Systems (COMM) sector. Assume the following information for the COMM sector: . The sector has 3,000 employees, of whom 60% are office employees. Almost all office employees (80%) have a computer on the network. 95 percent of the employees with a computer also have an e-mail account. The average number of help desk calls for October was 1 calls per individual with a computer. There are 300 additional printers, servers, and peripherals on the network beyond the personal computers. All the nonoffice employees have been issued a handheld device. . a. Determine the service allocation rate for the four CCS service categories for October. Round your answers to two decimal places. CCS Service Category Service Allocation Rate Help desk Network center Electronic mail $ Handheld technology support b. Determine the allocations to the COMM sector for the four CCS service categories for October. October allocations to the COMM sector: Help desk allocation Network center allocation III Electronic mail allocation Handheld technology support $

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

More Books

Students also viewed these Accounting questions

Question

What is float, and what are its three components?

Answered: 1 week ago

Question

Develop clear policy statements.

Answered: 1 week ago

Question

Draft a business plan.

Answered: 1 week ago

Question

Describe the guidelines for appropriate use of the direct plan.

Answered: 1 week ago