,? Yue Xu/ Announcements User Guides Site Home Question 14 The Kelsey Manufactur

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,? Yue Xu/ Announcements User Guides Site Home Question 14 The Kelsey Manufacturing Company Ltd has two production (Janitorial and Personnel). The usage of the two support departments in 2012 is as follows: 1.00 User of Support Personnel Janitorial Remove flag Personnel 5% Janitorial Assembly Finishing The budgeted costs in the support departments of 2012 were as 10% 60% 30% 40% 5596 follows: Personnel $90 000 Janitorial $50 000 Using the step-down method, what is the amount of Personnel Department cost allocated to the Assembly Department with the Personnel Department cost allocated first? Select one: $60 000 $54 000 $21 053 $28 948 Question 15 The support department cost allocation method that recognises

Explanation / Answer

Answer : $54000

Explanation:

Total personnel department cost= $94000

60% of the service of pereonnel dep. is given to assemble department.

Therfore, cost of personnel department allocated to assemble department will be :

= $94000*60%

=54000

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