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[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.
[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 Maintenance Cafeteria Machining Assembly Department Machining Assembly Maintenance Cafeteria Direct Costs $97,000 72,400 44,800 36,000 0.2 0.5 0.8 0.3 0.1 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 labo and machine-hours worked in each department are as follows: Machining Assembly Job CM-22: Machine-hours 60 Labor-hours Job CM-23: Machine-hours Labor-hours 30 360 se 20 40 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.) Job CM-22 Job CM-23 Machining Assembly
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