Vancuren Corporation Has Two Operating Divisions--An East Division and a West

question 24

Multiple Choice

Vancuren Corporation has two operating divisions--an East Division and a West Division. The company's Logistics Department services both divisions. The variable costs of the Logistics Department are budgeted at $31 per shipment. The Logistics Department's fixed costs are budgeted at $274,400 for the year. The fixed costs of the Logistics Department are determined based on peak-period demand.

At the end of the year, actual Logistics Department variable costs totaled $215,820 and fixed costs totaled $294,690. The East Division had a total of 3,200 shipments and the West Division had a total of 3,400 shipments for the year.
-How much actual Logistics Department cost should not be allocated to the operating divisions at the end of the year?

• A)$31,510
• B)$11,220
• C)$20,290
• D)$0

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Definitions:

Smaller Meetings

Gatherings that involve a limited number of participants, often allowing for more in-depth discussion.

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Meetings that effectively achieve their objectives, efficiently use time, and result in actionable outcomes or decisions.

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The goal or objective behind organizing and preparing a course of action or strategy.

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The moral principles that guide behavior and decision-making during professional meetings, ensuring respect, honesty, and integrity.