ABC Corporation Has Three Service Departments with the Following Costs

question 160

Multiple Choice

ABC Corporation has three service departments with the following costs and activity base: How much service department cost would be allocated to the Super Division?

• A) $350,000
• B) $100,000
• C) $125,000
• D) $550,000

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Definitions:

Permanent-Magnet Wheel Speed Sensor

A sensor that uses a permanent magnet to detect wheel speed, often used in anti-lock braking systems.

Analog

Pertaining to or using signals or information represented by a continuously variable physical quantity such as spatial position or voltage.

Digital

Pertaining to technology that encodes data as discrete numerical values, often represented as ones and zeros, for processing, storage, and transmission.

Electrohydraulic Unit

In an ABS system, this unit usually contains electric motors, solenoids, and valves that control the flow of brake fluid to the wheel brakes based on input from the EBCM.