White Company Has Two Service Departments and Two Operating (Production)departments

question 107

Multiple Choice

White Company has two service departments and two operating (production) departments.The Payroll Department services all three of the other departments in proportion to the number of employees in each.The Maintenance Department costs are allocated to the two operating departments in proportion to the floor space used by each.Listed below are the operating data for the current period:
The total cost of operating the Milling Department for the current period is:

• A)$14,280.
• B)$15,912.
• C)$76,500.
• D)$90,780.
• E)$92,412.

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Definitions:

Black Box

In technology and systems theory, a device, system, or object which can be viewed in terms of its inputs and outputs without any knowledge of its internal workings.

Classical Conditioning

A learning process where two stimuli are repeatedly paired; a response that is initially elicited by the second stimulus is eventually elicited by the first stimulus alone.

Higher Class

A social stratum associated with high status, wealth, and power in a society.

Celebrity

A well-known individual, especially in entertainment or sports, who commands a significant degree of public fascination and influence.