Staff Company Allocates Common Building Department Costs to Producing Departments

question 32

Multiple Choice

Staff 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: $$\begin{array} { l c c c c } & \text { Building } & \text { Personnel } & \text { Dept. P1 } & \text { Dept. P2 } \\\text { Space occupied } & 2,000 \mathrm {~m} & 10,000 \mathrm {~m} & 120,000 \mathrm {~m} & 70,000 \mathrm {~m} . \\\text { Employees } & 6 & 10 & 80 & 50\end{array}$$ If Staff 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)50/146.
• B)90/140.
• C)50/140.
• D)50/130.

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Definitions:

Physiological Needs

The most basic human needs to be satisfied—water, food, shelter, and clothing.

Hygiene Factor

In Herzberg's motivation theory, factors that can cause dissatisfaction if absent but do not necessarily motivate if present, such as safe working conditions, salary, and company policies.