Dep Name Dept Type Total Costs XFacilityX Support 31 XHuman ResourcesX Support 74 XAutomotiveX Production...

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Question

Accounting

Dep Name Dept Type Total Costs

XFacilityX Support 31

XHuman ResourcesX Support 74

XAutomotiveX Production 2,100

Aviation Production 1,450

Other Info

XFacilityX

XHRX

XAutomotiveX

XAviationX

XTotalX

Xfloor space (m2)X

300

150

1,650

1,200

3,300

# employeesX

60

0

65

275

400

Where required, Support Department costs are first allocated from the cost centre with the most costs.

About how much of the Facility costs are allocated to Automotive using the direct method?

  1. $13
  2. $16
  3. $18
  4. $22
  5. $30

How much of the Facility costs are allocated to Automotive using the Step-Down method?

  1. 11.25
  2. 15.55
  3. 17.05
  4. 18.05
  5. 19.35

Approximately what are the total costs allocated to Automotive using the step-down method from all support departments:

  1. $13.60
  2. $22.50
  3. $27.40
  4. $31.50
  5. $105.00

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