Question

Hardy Inc. has two operating departments (1 and 2) and is considering renting a new machine...

Hardy Inc. has two operating departments (1 and 2) and is considering renting a new machine to help automate the printing process. The normal rental for the machine is $25/hour, but for rentals that exceed 1,000 hours the rental rate drops to $22/hour.

Operating Dept 1 needs the machine for 300 hours.

Operating Dept 2 needs the machine for 900 hours.

If Hardy uses the stand alone method, how much of the cost will be allocated to Department 1?

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1


0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing)....
University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing). Management has decided to allocate maintenance costs on the basis of machine-hours in each department and personnel costs on the basis of labor-hours worked by the employees in each. The following data appear in the company records for the current period: Maintenance Personnel Printing Developing Machine-hours — 1,400 1,400 4,200 Labor-hours 900 — 900 3,600 Department direct costs $ 6,000 $ 16,000 $ 17,500...
University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing)....
University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing). Management has decided to allocate maintenance costs on the basis of machine-hours in each department and personnel costs on the basis of labor-hours worked by the employees in each. The following data appear in the company records for the current period: Maintenance Personnel Printing Developing Machine-hours — 1,700 1,700 5,100 Labor-hours 700 — 700 2,800 Department direct costs $ 2,400 $ 12,400 $ 14,100...
University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing)....
University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing). Management has decided to allocate maintenance costs on the basis of machine-hours in each department and personnel costs on the basis of labor-hours worked by the employees in each. The following data appear in the company records for the current period: Maintenance Personnel Printing Developing Machine-hours — 2,000 2,000 3,000 Labor-hours 900 — 900 2,100 Department direct costs $ 5,600 $ 15,600 $ 17,300...
University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing)....
University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing). Management has decided to allocate maintenance costs on the basis of machine-hours in each department and personnel costs on the basis of labor-hours worked by the employees in each. The following data appear in the company records for the current period: Maintenance Personnel Printing Developing Machine-hours — 1,000 1,000 3,000 Labor-hours 500 — 500 2,000 Department direct costs $ 5,000 $ 12,000 $ 15,000...
University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing)....
University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing). Management has decided to allocate maintenance costs on the basis of machine-hours in each department and personnel costs on the basis of labor-hours worked by the employees in each. The following data appear in the company records for the current period: Maintenance Personnel Printing Developing Machine-hours — 1,700 1,700 5,100 Labor-hours 500 — 500 3,500 Department direct costs $ 3,000 $ 13,000 $ 14,100...
University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing)....
University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing). Management has decided to allocate maintenance costs on the basis of machine-hours in each department and personnel costs on the basis of labor-hours worked by the employees in each. The following data appear in the company records for the current period: Maintenance Personnel Printing Developing Machine-hours − 495 594 2,211 Labor-hours 400 − 300 1,300 Department direct costs $ 11,000 $ 23,000 $ 34,000...
Mike’s Services Corporation provides flavoring agents to the food industry. It has two Support departments --...
Mike’s Services Corporation provides flavoring agents to the food industry. It has two Support departments -- Engineering and Materials Management -- and two Operating departments--Machining and Assembly. Mike's Services Corporation: Material Management Department Practical capacity 5,000 hours Fixed costs of the materials services department 4,000 labor hours to 5,000 labor hours range 500,000 Budgeted usage (qty) of materials management labor hours required to support the departments: Machining Department 1,000 Hours Assembly Department 3,000 Hours Total 4,000 Hours Budgeted variable cost...
Required information Skip to question The Ferre Publishing Company has three service departments and two operating...
Required information Skip to question The Ferre Publishing Company has three service departments and two operating departments. Selected data from a recent period on the five departments follow: Service Departments Operating Departments Administration Janitorial Maintenance Binding Printing Total Costs $166,600 $124,950 $57,120 $327,250 $511,700 $1,187,620 Number of employees 60 35 140 315 210 760 Square feet of space occupied 15,000 10,000 20,000 40,000 100,000 185,000 Hours of press time 30,000 60,000 90,000 Administration is allocated based on number of employees;...
30. Hanung Corp has two service​ departments, Maintenance and Personnel. Maintenance Department costs of $310,000 are...
30. Hanung Corp has two service​ departments, Maintenance and Personnel. Maintenance Department costs of $310,000 are allocated on the basis of budgeted maintenance−hours. Personnel Department costs of $150,000 are allocated based on the number of employees. The costs of operating departments A and B are $184,000 and $276,000​, respectively. Data on budgeted maintenance−hours and number of employees are as​ follows:                                                                                                                     Support Departments Production Departments Maintenance Department Personnel Department A B Budgeted costs $310,000 $150,000 $184,000 $276,000 Budgeted maintenance−hours NA 880...
Mugu limited is considering accepting a new order from a new client to produce 500 gas...
Mugu limited is considering accepting a new order from a new client to produce 500 gas cylinders. The Chief Executive Officer presents to you a cost estimate of the order prepared by the Chief Accountant. His advice is that, any offer below GH¢ 33,870 should not be accepted. Details of the offer is given below. GH¢ 1 Cost of equipment 8,000 2 Depreciation of building 1,600 3 Cost of plant   800 4 Cost of labour   425 5 Hiring and overheads...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT