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Answer the Following Questions Using the Information Below

question 39

Multiple Choice

Answer the following questions using the information below:
Murray River Cruises Company has two service departments,Maintenance and Personnel.Maintenance Department costs of $160 000 are allocated on the basis of budgeted maintenance-hours.Personnel Department costs of $40 000 are allocated based on the number of employees.The costs of operating departments A and B are $80 000 and $120 000,respectively.Data on budgeted maintenance-hours and number of employees are as follows:
Answer the following questions using the information below: Murray River Cruises Company has two service departments,Maintenance and Personnel.Maintenance Department costs of $160 000 are allocated on the basis of budgeted maintenance-hours.Personnel Department costs of $40 000 are allocated based on the number of employees.The costs of operating departments A and B are $80 000 and $120 000,respectively.Data on budgeted maintenance-hours and number of employees are as follows:    -Using the direct method,what amount of Personnel Department costs will be allocated to Department B? A) $24 000 B) $10 000 C) $16 000 D) $30 000
-Using the direct method,what amount of Personnel Department costs will be allocated to Department B?


Definitions:

Job Reassignment

The process of moving an employee from one task or position to another within an organization, often for better fit or performance.

Confront

To face or deal with a challenge or obstacle directly and boldly.

Personal Space

Personal space refers to the physical area surrounding an individual that is considered personal and inviolable, the comfort zone for social interactions.

Leans Forward

Adopting a bodily posture where the upper body moves in front of the base of support, often indicating attention or eagerness.

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