The Document Creation Center (DCC) for Arlington Corp. provides photocopying and document services for three departments in the Minneapolis office. The following budget has been prepared for the year.          Available capacity 9,400,000 pages Budgeted usage:     Software Development 2,460,000 pages Training 3,600,000 pages Management 2,940,000 pages Cost equation $307,000 + $0.06 per page   If DCC uses a dual-rate for allocating its costs based on usage, how much cost will be allocated to the Management Department?   Multiple Choice   $247,887.   $276,687.   $256,878.   $130,829.

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter4: Activity-based Costing
Section: Chapter Questions
Problem 9E: Nozama.com Inc. sells consumer electronics over the Internet. For the next period, the budgeted cost...
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The Document Creation Center (DCC) for Arlington Corp. provides photocopying and document services for three departments in the Minneapolis office. The following budget has been prepared for the year.
  

     
Available capacity 9,400,000 pages
Budgeted usage:    
Software Development 2,460,000 pages
Training 3,600,000 pages
Management 2,940,000 pages
Cost equation $307,000 + $0.06 per page
 


If DCC uses a dual-rate for allocating its costs based on usage, how much cost will be allocated to the Management Department?

 

Multiple Choice
  •  

    $247,887.

  •  

    $276,687.

  •  

    $256,878.

  •  

    $130,829.

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