(Appendix 12B)Delta Company's Long-Run Average and Actual Machine-Hours for Last

question 8

Multiple Choice

(Appendix 12B) Delta Company's long-run average and actual machine-hours for last year appear below: Fixed maintenance costs of the company's maintenance service department are budgeted at $60, 000 per year.These fixed costs are incurred in order to support long-run average demand.How much of this cost should be charged to Department B at the end of the year?

• A)$30, 000
• B)$22, 500
• C)$24, 000
• D)$18, 000

---

Definitions:

Optimistic

Optimistic describes a person's tendency to hold a hopeful and positive outlook towards the future or the outcome of specific situations.

Life Expectancy

The average number of years an individual or a specific population group is expected to live, based on statistical averages.

Life Satisfaction

Life satisfaction is a measure of how people evaluate their lives as a whole rather than their current feelings, reflecting a person's perceived quality of life.

Type A Personality

A personality characterized by high levels of competitiveness, self-motivation, aggression, and a sense of urgency.