Gray Enterprises Has Two Support Departments (S1 and S2) and Two

question 45

Essay

Gray Enterprises has two support departments (S1 and S2) and two producing departments (A and B). The distribution of services by the support departments is as follows: $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$$\text { Services Provided to }$
$\begin{array}{ccccc}\underline{\text { Services Provided from}}&\underline{\text { S1}}&\underline{\text { S2}}&\underline{A} &\underline{B} \\\text { S } 1 & - & 8 \% & 74 \% & 18 \% \\\text { S2 } & 21 \% & - & 47 \% & 32 \%\end{array}$ Total department costs for the support and producing departments are as follows: $\begin{array}{lr}\mathrm{S} 1 & £ 58,000 \\\mathrm{~S} 2 & 124,000 \\\mathrm{~A} & 712,000 \\\mathrm{~B} & 568,000\end{array}$

---

Definitions:

Chief Financial Officer

The executive responsible for managing the financial actions of a company, including financial planning, risk management, and record-keeping.

Ethical Questions

Queries concerning moral principles and values that guide behavior in the business or professional world.

IDDR Approach

A strategic method in problem-solving that involves Identification, Diagnosis, Decision, and Remediation steps to address and solve issues effectively.

Ethical Problem

A dilemma or situation that requires a decision to be made that involves questioning the morality of the actions or choices.