Question : 11) If a dual-rate cost-allocation method used, what amount of : 1216993

 

11) If a dual-rate cost-allocation method is used, what amount of copying facility costs will be allocated to the Operations Department? Assume budgeted usage is used to allocate fixed copying costs and actual usage is used to allocate variable copying costs.

A) $60,490

B) $59,890

C) $57,000

D) $56,400

Answer the following questions using the information below:

 

The Quickjet Aircraft Corporation has a central materials laboratory. The laboratory has only two users, the Large Plane Department and the Small Plane Department. The following data apply to the coming budget year:

 

Budgeted costs of operating the materials laboratory

for 100,000 to 200,000 technician hours per year:

Fixed costs per year$6,000,000

Variable costs$80 per technician hour

Budgeted long-run usage in hours per year:

Large Plane Department90,000 technician hours

Small Plane Department70,000 technician hours

 

Budgeted amounts are used to calculate the allocation rates.

 

Actual usage for the year by the Large Plane Department was 60,000 technician hours and by the Small Plane Department was 65,000 technician hours.

 

12) If a single-rate cost-allocation method is used, what is the allocation rate per hour used?

A) $80.00

B) $117.50

C) $146.67

D) $100.00

 

13) If a dual-rate cost-allocation method is used, what amount of materials laboratory costs will be budgeted for the Large Plane Department?

A) $10,575,000

B) $8,225,000

C) $18,800,000

D) $16,000,000

14) If a single-rate cost-allocation method is used, what amount of materials laboratory costs will be allocated to the Large Plane Department? Assume actual usage is used to allocate copying costs.

A) $10,575,000

B) $8,225,000

C) $7,637,500

D) $7,050,000

 

15) If a dual-rate cost-allocation method is used, what amount of materials laboratory costs will be allocated to the Large Plane Department? Assume budgeted usage is used to allocate fixed materials laboratory costs and actual usage is used to allocate variable materials laboratory costs.

A) $7,825,000

B) $8,175,000

C) $8,225,000

D) $7,050,000

 

16) If a dual-rate cost-allocation method is used, what amount of materials laboratory costs will be budgeted for the Small Plane Department?

A) $10,575,000

B) $7,637,500

C) $7,050,000

D) $8,225,000

17) If a dual-rate cost-allocation method is used, what amount of materials laboratory costs will be allocated to the Small Plane Department? Assume budgeted usage is used to allocate materials laboratory costs and actual usage is used to allocate variable materials laboratory costs.

A) $8,225,000

B) $7,825,000

C) $8,175,000

D) $7,637,500

 

Answer the following questions using the information below:

 

The Laserlight Corporation operates one central plant that has two divisions, the Flashlight Division and the Night Light Division. The following data apply to the coming budget year:

 

Budgeted costs of operating the plant for 2,000 to 3,000 hours:

Fixed operating costs per year      $450,000

Variable operating costs$600per hour

Budgeted long-run usage per year:

Flashlight Division2,000hours

Night Light Division500hours

Practical capacity3,000hours

 

Assume that practical capacity is used to calculate the allocation rates.

 

Actual usage for the year by the Flashlight Division was 1,400 hours and by the Night Light Division was 600 hours.

 

18) If a single-rate cost-allocation method is used, what amount of operating costs will be budgeted for the Flashlight Division?

A) $1,500,000

B) $1,560,000

C) $1,140,000

D) $1,410,000

19) If a single-rate cost-allocation method is used, what amount of cost will be allocated to the Flashlight Division? Assume actual usage is used to allocate operating costs.

A) $1,140,000

B) $1,200,000

C) $1,500,000

D) $1,050,000

 

 

20) If a dual-rate cost-allocation method is used, what amount of operating costs will be budgeted for the Night Light Division?

A) $390,000

B) $450,000

C) $375,000

D) $435,000