Carla's Building Expenses,which Are Indirect,are Based on Each Department's Square

question 112

Multiple Choice

Carla's building expenses,which are indirect,are based on each department's square footage.Department A occupies 35,000 square feet.Department B occupies 55,000 square feet,and Department C occupies 10,000 square feet.If the building expenses total $250,000,how much is allocated to Department B?

• A)$83,333
• B)$137,500
• C)$87,500
• D)$25,000

---

Definitions:

Future Value

The value of an asset or cash at a specified date in the future that is equivalent in value to a specified sum today.

Cash Flows

The total flow of cash and cash-like assets entering and leaving a company.

Retirement Savings

Money that has been put aside or invested with the goal of providing financial security upon retirement.