Use the chart for the following 3 questions.

ABC Corporation has three service departments with the following costs and activity base:

Service Department	Cost	Activity Base for Allocation
Graphics Production	$200,000	# of copies
Accounting	$500,000	# of invoices processed
Personnel Department	$400,000	# of employees

ABC has three operating divisions, Micro, Macro and Super. Their revenue, cost and activity information are as follows:

	Micro	Macro	Super
Direct Revenues	$700,000	$850,000	$650,000
Direct Operating Expenses	$50,000	$70,000	$100,000
# of copies made	20,000	30,000	50,000
# invoices processed	700	800	500
# of employees	130	145	125

1.

What will the income of the Super Division be after all service department allocations?

A.		$300,000
B.		$325,000
C.		$550,000
D.		$200,000

2.

What is the service department charge rate for Graphics Production?

A.		$2.00
B.		$10.00
C.		$6.66
D.		$.50

3.

What is the service department charge rate for the Accounting Department?

A.		$714
B.		$250
C.		$625
D.		$.004