Carson Corporation Carson Corporation Has Three Production Departments A,B,and C

question 82

Multiple Choice

Carson Corporation Carson Corporation has three production departments A,B,and C Carson Corporation also has two service departments,Administration and Personnel.Administration costs are allocated based on value of assets employed,and Personnel costs are allocated based on number of employees.Assume that Administration provides more service to the other departments than does the Personnel Department. Refer to Carson Corporation.Assume that Administration costs have been allocated and the balance in Personnel is $860,000.What amount is allocated to B (round to the nearest dollar) ?

• A)$213,964
• B)$430,000
• C)$106,982
• D)$143,333

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Definitions:

Functional Manager

A manager responsible for a specific business function or department within an organization, such as marketing or finance.

Direct Contribution

The direct financial impact of a specific activity or unit towards the overall profit or revenue of a business.

Line Managers

Managers who have direct responsibility for managing employees and operations, acting as a link between higher management and the workforce.

Technical Expertise

Specialized knowledge or skills in a particular area of technology or science.