The Merchant Manufacturing Company Has Two Service Departments — Purchasing

question 21

Multiple Choice

The Merchant Manufacturing Company has two service departments — purchasing and maintenance, and two production departments — fabrication and assembly. The distribution of each service department's efforts to the other departments is shown below:The total cost accumulated in the fabrication department using the direct method is (calculate all ratios and percentages to 4 decimal places, for example 33.3333%, and round all dollar amounts to the nearest whole dollar) :

• A)$102,750.
• B)$114,600.
• C)$87,000.
• D)$131,250.
• E)$135,000.

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Definitions:

Taste Better

A subjective assessment indicating that one item is perceived as more pleasing or enjoyable in flavor than another.

Disjunctive Syllogism

A form of logical reasoning where, from two possibilities, the elimination of one implies the necessity of the other.

Valid Argument

A logical conclusion based on premises that are true and follows a form that guarantees its truth.

Educated Mind

A mind that has acquired knowledge and intellectual skills through learning and study.