The Lots More Store Has a Janitorial Department and a Personnel

question 23

Multiple Choice

The Lots More Store has a Janitorial Department and a Personnel Department that provide services to three Sales Departments. The Janitorial Department cost is allocated based on space and the Personnel Department cost is allocated based on employees. The following information is available.
Using the step-down method, calculate the amount of Janitorial Department cost allocated to Sales Department #2, if the Personnel Department is allocated first.

• A) $10 247
• B) $8571
• C) $9857
• D) $10 350

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