The Following Is Taken from Clausen Company's Internal Records of Its

question 17

Multiple Choice

The following is taken from Clausen Company's internal records of its factory with two operating departments.The cost driver for indirect labor is direct labor hours,and the cost driver for the remaining items is number of hours of machine use.Compute the total amount of rent and utilities allocated to Dept.2 using activity-based costing.

• A)$6,000.
• B)$13,134.
• C)$8,566.
• D)$14,092.
• E)$14,152.

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