Use the Information Below to Answer the Following Question(s)

question 72

Multiple Choice

Use the information below to answer the following question(s) .Joe's Tire Company has two support departments, Personnel and Maintenance.The Maintenance Department costs of $80,000 are allocated on the basis of standard service hours used.The Personnel Department costs of $20,000 are allocated based on the number of employees.Costs of Departments A and B are $40,000 and $60,000, respectively.Data on standard service hours and number of employees are as follows:

-What is the cost of the support departments allocated to Department B using the step-down method if the support department with the highest percentage of interdepartmental service to the other support department is allocated first?

• A)$43,660
• B)$21,333
• C)$53,412
• D)$46,588
• E)$ 56,313

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Definitions:

Adaptive Purpose

Refers to the ways in which behaviors or physical traits contribute to an organism's survival or reproductive success in its environment.

Common Behaviour

Actions or reactions that are frequently exhibited by a majority of individuals within a particular group or society.

Culture

The customs, arts, social institutions, and achievements of a particular nation, people, or other social group.

Determinant

A factor or element that decisively affects the nature or outcome of something.