Using the Sequential Method, Pone Hill Company Allocates Janitorial Department

question 87

Multiple Choice

Using the sequential method, Pone Hill Company allocates Janitorial Department costs based on square footage serviced. It allocates Cafeteria Department costs based on the number of employees served. It has determined to allocate Janitorial costs before Cafeteria costs.It has the following information about its two service departments and two production departments, Cutting and Assembly: The percentage (proportional) usage of the Janitorial Department by the Cutting Department is

• A)20%
• B)80%
• C)10%
• D)9.9%

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