The Document Creation Center (DCC) for Arlington Corp -
If DCC Uses a Dual-Ate for Allocating Its Costs

question 132

Multiple Choice

The Document Creation Center (DCC) for Arlington Corp. provides photocopying and document services for three departments in the Minneapolis office. The following budget has been prepared for the year.
$\begin{array}{lr}\text { Available capacity } & 8,000,000 \text { pages } \\\text { Budgeted usage: } & \\\text { Software Development } & 1,600,00 \text { pages } \\\text { Training } & 3,000,00 \text { pages } \\\text { Management } & 2,400,000 \text { pages } \\\text { Cost equation } & \$ 280,000+\$ 0.03 \text { per page }\end{array}$
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If DCC uses a dual-ate for allocating its costs based on usage, how much cost will be allocated to the Management Department?

• A) $168,000.
• B) $156,000.
• C) $178,286.
• D) $147,000.

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Definitions:

Series Circuit

A circuit in which the components or contact symbols are connected end to end, and all must be closed to permit current flow.

Series-Parallel Circuit

A circuit configuration that combines elements in both series and parallel to achieve desired electrical characteristics.

NOR Function

A logical operation that produces a true output only when all its inputs are false.

NAND Function

A binary operation that produces a false output only when all its inputs are true; it's often described as "NOT AND."