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Usaha Sdn Bhd has two service departments, Maintenance and Personnel. Maintenance Department costs of RM400,000 are allocated on the basis of budgeted maintenance hours. Personnel
Usaha Sdn Bhd has two service departments, Maintenance and Personnel. Maintenance Department costs of RM400,000 are allocated on the basis of budgeted maintenance hours. Personnel Department costs of RM200.000 are allocated based on the number of employees. The costs of operating departments A and B are RM240,000 and RM360,000, respectively. Data on budgeted maintenance- hours and number of employees are as follows: Production Support Departments Departments Maintenance Personnel B Department Department Budgeted costs RM400,000 RM200,000 RM240,000 RM360,000 NA 820 1240 640 Budgeted maintenance hours Number of employees 100 NA 250 600 Using the direct method, what amount of Personnel Department costs will be allocated to Department A? (Do not round any intermediary calculations.) Select one: A RM52.632 B. RM58,824 C. RM70,588 D. RM141,176
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