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The Lorenzo Printing Company has two production departmeats (printing and binding) and three artneets (power goeration, fastory maintenanos data for each department, prior to allocation
The Lorenzo Printing Company has two production departmeats (printing and binding) and three artneets (power goeration, fastory maintenanos data for each department, prior to allocation of service department costs for the year ended April go, appears below. The costs of the power generation department, factory maintenanoe department, and human resoures are allocated on the basis of kilowatt hours, squar fotage occupined,and sumber of employes h nespectivety Power Factory Human Printing Binding Gen Maint. Res Direct labor costs:$475,000 $438,000 Direct material costs Factory overhead $750,000 $832,000 $75,000 $50,000 $30,000 $632,000 $527,000 costs: Direct labor hours:262,000 Number of employees: Sq. footage occupled 254,000 40 35 5 20 36,000 24,000 5,000 3,000 1,000 Assuming that Lacas elects to distribute service department costs to production departments using the direct distribution method,the amount of human resoures department costs that would be aloeated to he priating department would be (round all final calculations to the peanest dollar $15000 b$16,000 $18.000 d $12.000
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