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Banc CorpTrust Is Considering Either a Bankwide Overhead Rate or Department

question 61

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Banc Corp.Trust is considering either a bankwide overhead rate or department overhead rates to allocate $396,000 of indirect costs.The bankwide rate could be based on either direct labor hours (DLH) or the number of loans processed.The departmental rates would be based on direct labor hours for Consumer Loans and a dual rate based on direct labor hours and the number of loans processed for Commercial Loans.The following information was gathered for the upcoming period:
$\begin{array} { | l | l | l | r | } \hline \text { Department } & \text { DLH } & \text { Loans Processed } & \text { Direct Costs } \\\hline \text { Consumer } & 14,000 & 700 & \$ 280,000 \\\hline \text { Commercial } & 8,000 & 300 & \$ 180,000 \\\hline\end{array}$
If Banc Corp.Trust uses a bankwide rate based on the number of loans processed,what would be the total costs for the Consumer Department?

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Definitions:

Higher Goals

Objectives that reflect broader, more significant aspirations or ideals, surpassing basic or immediate needs in pursuit of longer-term fulfillment.

Delayed Reinforcement

A technique in which a response is followed by a reward not immediately but after a time delay, influencing future behavior.

Immediate Reinforcement

The prompt delivery of a reward or consequence following a behavior, which strengthens the likelihood of that behavior occurring again.

Continuous Reinforcement

A reinforcement strategy where a desired behavior is rewarded every time it occurs, leading to quicker learning of that behavior.