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The Personnel Department at LastCall Enterprises handles many administrative tasks for the two divisions that mak business line. This business, although lucrative, is currently not

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The Personnel Department at LastCall Enterprises handles many administrative tasks for the two divisions that mak business line. This business, although lucrative, is currently not growing. StressedOut, on the other hand, is the compa The cost allocation system at LastCall allocates all corporate costs to the divisions based on a variety of cost allocation divisions. There are two basic activities in the Personnel Department. The first, which is called employee maintenance, manages company. The other activity is payroll, which is an ongoing activity and requires the same amount of work for each empl Assorted data for LastCall for the last year follow Number of employees (average) Employees hired/leaving LaidBackStressedOutTotal 250 40 200 10 50 30 The Personnel Department incurred the following costs during the year: Employee maintenance Payroll Total $240,000 35,000 $275,000 Required: a. Under the current allocation system, what are the costs that will be allocated from personnel to LaidBack? To Stressedo LaidBackStressedout Allocated costs b. Suppose the company employee implements an activity-based cost system for personnel with the two activities, employee maintena maintenance costs and the average number of employees for payroll costs. What are the costs that will LaidBack StressedOut Employee maintenance

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