Lenser Company has two service departments — product design and engineering support, and two production departments — assembly and finishing. The distribution of each service department's efforts to the other departments is shown below: SERVICE DEPARTMENT SERVICES PROVIDED TO Design Support Assembly Finishing Product Design 0% 10% 30% 60% Engineering Support 20% 0% 45% 35% The direct operating costs of the departments (including both variable and fixed costs) were as follows: Product Design $ 170,000 Engineering Support $ 190,000 Assembly $ 670,000 Finishing $ 1,020,000 The total cost accumulated in the assembly department using the direct method is: Note: Calculate all ratios and percentages to 2 decimal places, for example 33.33%, and round all dollar amounts to the nearest whole dollar. Multiple Choice $1,216,458. $2,050,000. $833,542. $793,542. $840,208.
Lenser Company has two service departments — product design and engineering support, and two production departments — assembly and finishing. The distribution of each service department's efforts to the other departments is shown below: SERVICE DEPARTMENT SERVICES PROVIDED TO Design Support Assembly Finishing Product Design 0% 10% 30% 60% Engineering Support 20% 0% 45% 35% The direct operating costs of the departments (including both variable and fixed costs) were as follows: Product Design $ 170,000 Engineering Support $ 190,000 Assembly $ 670,000 Finishing $ 1,020,000 The total cost accumulated in the assembly department using the direct method is: Note: Calculate all ratios and percentages to 2 decimal places, for example 33.33%, and round all dollar amounts to the nearest whole dollar. Multiple Choice $1,216,458. $2,050,000. $833,542. $793,542. $840,208.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Lenser Company has two service departments — product design and engineering support, and two production departments — assembly and finishing. The distribution of each service department's efforts to the other departments is shown below:
| SERVICE DEPARTMENT | SERVICES PROVIDED TO | |||
|---|---|---|---|---|
| Design | Support | Assembly | Finishing | |
| Product Design | 0% | 10% | 30% | 60% |
| Engineering Support | 20% | 0% | 45% | 35% |
The direct operating costs of the departments (including both variable and fixed costs) were as follows:
| Product Design | $ 170,000 |
|---|---|
| Engineering Support | $ 190,000 |
| Assembly | $ 670,000 |
| Finishing | $ 1,020,000 |
The total cost accumulated in the assembly department using the direct method is:
Note: Calculate all ratios and percentages to 2 decimal places, for example 33.33%, and round all dollar amounts to the nearest whole dollar.
Multiple Choice
-
$1,216,458.
-
$2,050,000.
-
$833,542.
-
$793,542.
-
$840,208.
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