The Accountant for Milton, Inc

question 67

Multiple Choice

The accountant for Milton, Inc. is preparing the budgets for operating department support service costs. Maintenance costs are allocated based on square feet, and cafeteria costs are allocated based on number of employees. The following data have been collected: Support Departments Operating Departments
Maintenance Cafeteria Cutting Packaging
Direct costs $50,000 $45,000 $275,000 $300,000
Number of employees 15 10 150 250
Square metres 1,500 2,000 3,500 4,000
If the direct method is used, maintenance costs allocated to the cutting department will be:

• A)$15,909
• B)$23,333.33
• C)$20,520
• D)$43,750

Identify the impact of managerial support and trust on goal acceptance and effort.

Recognize the relationship and distinctions among key motivational theories.

Understand the significance of timely and contingent reinforcement in behavior modification.

Recognize the role of punishment strategies and their appropriate application in management.

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Definitions:

Bundle

A combination of goods or services that are purchased together.

Optimal Choice

The best possible selection among various alternatives, considering constraints and objectives, to maximize or minimize desired factors such as utility, profit, or costs.

Consumer

An individual or group that purchases goods and services for personal use and not for manufacture or resale.

Marginal Utility

The additional satisfaction or benefit gained from consuming one more unit of a good or service.