McHugh Company Allocates Common Building Department Costs to Producing Departments

question 70

Multiple Choice

McHugh Company allocates common Building Department costs to producing departments (P1 and P2) based on space occupied, and it allocates common Personnel Department costs based on the number of employees. Space occupancy and employee data are as follows: $\begin{array}{lcccc}&\text { Building } & \text { Personnel } & \text { Dept.P1 } & \text { Dept. P2 }\\\text { Space occupied } & 2,000 \mathrm{ft} & 10,000 \mathrm{ft} . & 120,000 \mathrm{ft} & 70,000 \mathrm{ft} \\\text { Employees } & 6 & 10 & 80 & 50\end{array}$ If McHugh Company uses the sequential allocation method and the support department with the highest percentage of interdepartmental services is allocated first, the ratio representing the portion of Personnel Department costs allocated to Department P2 is

• A)50/130.
• B)90/140.
• C)50/140.
• D)50/146.

---

Definitions:

Brazelton Neonatal Behavioral Assessment Scale

A scale used to assess newborn babies' neurological development, reflexes, and reactions to people and environments.

Apgar Scale

A quick test performed on a newborn at 1 and 5 minutes after birth measuring five criteria (Appearance, Pulse, Grimace, Activity, Respiration) to evaluate the baby's physical condition.

Denver Developmental Screening

A test used to assess the developmental progress of children from birth through six years of age.

Maternal Depression

A form of clinical depression that can affect mothers during pregnancy or after childbirth.