Asked by Samantha Adams on Apr 27, 2024
Verified
The total amount of indirect factory expenses that should be allocated to the Assembly Department for the current period is:
A) $48,000.
B) $55,000.
C) $103,000.
D) $104,000.
E) $110,000.
Indirect Factory Expenses
Costs associated with manufacturing that are not directly tied to the production of goods, such as utilities and maintenance.
Square Footage
Square Footage is the measurement of area expressed in square feet, commonly used to determine the size of a room or overall space.
- Implement the division of costs between office and departmental activities.
- Enact the principles of expense allocation in chosen scenarios, emphasizing the allotment for rent, administration fees, and indirect factory costs.
Verified Answer
VL
Vivian LuongMay 01, 2024
Final Answer :
C
Explanation :
Indirect factory expenses allocated to a department are typically calculated based on a predetermined overhead rate or allocation base that is relevant to the department's operations. Without specific details on the calculation method or the allocation base (e.g., machine hours, labor hours, or direct labor cost), it's not possible to provide a detailed explanation. However, the correct answer among the options provided is chosen based on the information that would have been given in the question scenario.
Learning Objectives
- Implement the division of costs between office and departmental activities.
- Enact the principles of expense allocation in chosen scenarios, emphasizing the allotment for rent, administration fees, and indirect factory costs.
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