Service Department A Service Department B Producing Department C Producing Department D B C D Proportion of service by A to: 10% RCD A Proportion of service by B to: 30% 20% 50% Multiple Choice $76,800 $81,142. Direct costs 60% 30% sing the reciprocal (simultaneous solution) method, Department A's cost allocated to Department C (rounded to the nearest whole dollar) is $66,000 $110,000 70,600 28,200 28,600 $116,000 for the past accounting period.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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The following information relates to Osceola Corporation for the past accounting period.
Service Department A
Service Department B
Producing Department C
Producing Department D
Proportion of service by A to:
10%
60%
30%
BUD
C
Proportion of service by B to:
30%
20%
50%
RUD
A
с
Using the reciprocal (simultaneous solution) method, Department A's cost allocated to Department C (rounded to the nearest whole dollar) is:
Multiple Choice
$76,800
Direct costs
$110,000
70,600
28,200
28,600
$81,142.
$66,000.
$116,000
Transcribed Image Text:The following information relates to Osceola Corporation for the past accounting period. Service Department A Service Department B Producing Department C Producing Department D Proportion of service by A to: 10% 60% 30% BUD C Proportion of service by B to: 30% 20% 50% RUD A с Using the reciprocal (simultaneous solution) method, Department A's cost allocated to Department C (rounded to the nearest whole dollar) is: Multiple Choice $76,800 Direct costs $110,000 70,600 28,200 28,600 $81,142. $66,000. $116,000
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