Diane's Pottery Manufacturing Company Has Two Support Departments, Maintenance Department

question 96

Multiple Choice

Diane's Pottery Manufacturing Company has two support departments, Maintenance Department and Personnel Department, and two producing departments, X and Y. The Maintenance Department costs of $30,000 are allocated on the basis of standard service hours used. The Personnel Department costs of $4,500 are allocated on the basis of number of employees. The direct costs of Departments X and Y are $9,000 and $15,000, respectively. Data on standard service hours and number of employees are as follows: $\begin{array}{lcccc}&\text { Maint. } & \text { Person. } & \text { Dept. } & \text { Dept. } \\&\text { Dest. } & \text { Dept. } & \underline{X} & \underline{Y}\\\text { Standard service hours used } & 100 & 75 & 600 & 300 \\\text { Number of employees } & 50 & 100 & 150 & 150 \\\text { Direct labor hours } & 125 & 125 & 500 & 250\end{array}$
What are the total overhead costs associated with Department X after allocating the Maintenance and Personnel Departments using the direct method?

• A)$31,250
• B)$29,000
• C)$11,250
• D)$9,000

Understand the characteristics and the importance of cohesive work teams.

Identify and describe the different leadership styles and their impact on team dynamics and performance.

Recognize and outline the stages of group development and their significance in team formation and effectiveness.

Explain the role of power and authority in organizational behavior and how they influence group and organizational dynamics.

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Definitions:

National Defense

Government actions, including militaristic measures, taken to defend a country from external threats and ensure national security.

Taxable Income

The portion of an individual or entity's income that is subject to tax by governmental authorities, after deductions and exemptions.

Progressive

A political and social philosophy advocating for changes and reforms through governmental action in order to achieve a more equitable society.