ZanaTech Has an On-Site Cafeteria in Which It Provides Free

question 97

Multiple Choice

ZanaTech has an on-site cafeteria in which it provides free meals for employees.The company allocates the cost of the cafeteria to production departments using the direct method based on the number of employees in each department.The four production departments in the company have the following number of employees: molding, 15; polishing, 20; engraving, 10; and packaging, 15.There are 20 employees in the cafeteria.The cafeteria's costs are budgeted at $144,000 for the year.The actual cafeteria costs totaled $147,000 for the year.What is the total amount of the cafeteria's costs that will be allocated to the production departments?

• A)$108,000
• B)$144,000
• C)$147,000
• D)None of these answer choices are correct.

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Definitions:

Smith Act

is a U.S. federal law enacted in 1940 that set criminal penalties for advocating the overthrow of the U.S. government.

Federal Crime

Crimes that violate the laws of the Federal Government of a country and are prosecuted under federal law as opposed to state law.

Overthrow of the Government

The act of removing a government from power, typically through undemocratic means such as a coup or revolution.

Communist Party

A political party advocating the principles of communism, including the abolition of private property and the establishment of a society where goods are owned communally and available to all.