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Harry Dishman Owns and Operates Harry's Septic Service and Legal

question 63

Multiple Choice

Harry Dishman owns and operates Harry's Septic Service and Legal Advice.Harry's two revenue generating (production) operations are supported by two service departments: Clerical and Janitorial.Costs in the service departments are allocated in the following order using the designated allocation bases: Clerical:
Variable cost: expected number of work orders processed
Fixed cost: long-run average number of work orders processed
Janitorial:
Variable cost: labor hours
Fixed cost: square footage of space occupied
Average and expected activity levels for next month (June) are as follows: Harry Dishman owns and operates Harry's Septic Service and Legal Advice.Harry's two revenue generating (production) operations are supported by two service departments: Clerical and Janitorial.Costs in the service departments are allocated in the following order using the designated allocation bases: Clerical: Variable cost: expected number of work orders processed Fixed cost: long-run average number of work orders processed Janitorial: Variable cost: labor hours Fixed cost: square footage of space occupied Average and expected activity levels for next month (June) are as follows:   Expected costs in the service departments for June are as follows:   Under the step method of allocation,how much Clerical service cost should be allocated to the Septic Service operation for June? (Assume Clerical costs are allocated before Janitorial costs and round all calculations to the nearest whole dollar. )  A) $12,689. B) $13,100. C) $13,620. D) $15,596. Expected costs in the service departments for June are as follows: Harry Dishman owns and operates Harry's Septic Service and Legal Advice.Harry's two revenue generating (production) operations are supported by two service departments: Clerical and Janitorial.Costs in the service departments are allocated in the following order using the designated allocation bases: Clerical: Variable cost: expected number of work orders processed Fixed cost: long-run average number of work orders processed Janitorial: Variable cost: labor hours Fixed cost: square footage of space occupied Average and expected activity levels for next month (June) are as follows:   Expected costs in the service departments for June are as follows:   Under the step method of allocation,how much Clerical service cost should be allocated to the Septic Service operation for June? (Assume Clerical costs are allocated before Janitorial costs and round all calculations to the nearest whole dollar. )  A) $12,689. B) $13,100. C) $13,620. D) $15,596. Under the step method of allocation,how much Clerical service cost should be allocated to the Septic Service operation for June? (Assume Clerical costs are allocated before Janitorial costs and round all calculations to the nearest whole dollar. )

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Definitions:

Pancreatic Duct

A conduit through which digestive enzymes from the pancreas are delivered to the small intestine.

Common Hepatic Duct

A duct formed by the convergence of the right and left hepatic ducts that transport bile from the liver to the gallbladder and duodenum.

Cystic Duct

A small duct that connects the gallbladder to the common bile duct, allowing bile to flow into and out of the gallbladder.

Pancreatic Duct

A duct connecting the pancreas to the common bile duct to supply pancreatic juices containing digestive enzymes to the small intestine.

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