Hunghi Company Has Three Support Departments Whose Direct Department Costs

question 107

Multiple Choice

Hunghi Company has three support departments whose direct department costs are $35,000, $45,000, and $55,000, respectively, and two producing departments whose direct department costs are $400,000 and $360,000, respectively. The combined total department cost for the producing departments after allocation of the support departments is

• A)$360,000.
• B)$760,000.
• C)$895,000.
• D)$135,000.

Identify the impact of beginning and ending work-in-process inventory on process costing calculations.

Understand the managerial accounting reports related to process costing and their components.

Understand the concepts of gender bias, stereotypes, and miscommunication between men and women.

Recognize the challenges and discrimination women face in the workplace.

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Definitions:

Mixed Cost

A cost that contains both variable and fixed cost elements, meaning part of the cost changes with the level of activity while another part remains constant.

Selling

Activities or processes involved in promoting and exchanging goods or services for money, including marketing and negotiation.

Administrative

Relates to the daily operations and management tasks within an organization, including paperwork and office procedures.

Fixed Cost Element

A cost that does not vary with the level of production or sales, such as rent, salaries, and insurance expenses.