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Rodney Company Has Two Production Departments Called Mixing and Finishing

Question 13

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Rodney Company has two production departments called Mixing and Finishing.The maintenance department serves both production departments.Budgeted fixed costs for the maintenance department are $30,000.Budgeted variable costs for the maintenance department are $5.00 per labor hour.Other relevant data follow: Rodney Company has two production departments called Mixing and Finishing.The maintenance department serves both production departments.Budgeted fixed costs for the maintenance department are $30,000.Budgeted variable costs for the maintenance department are $5.00 per labor hour.Other relevant data follow: Actual maintenance department costs: The amount of variable maintenance department costs allocated to the Finishing Department should be ________. A) $37,500 B) $42,000 C) $45,000 D) $75,000 Actual maintenance department costs:
Rodney Company has two production departments called Mixing and Finishing.The maintenance department serves both production departments.Budgeted fixed costs for the maintenance department are $30,000.Budgeted variable costs for the maintenance department are $5.00 per labor hour.Other relevant data follow: Actual maintenance department costs: The amount of variable maintenance department costs allocated to the Finishing Department should be ________. A) $37,500 B) $42,000 C) $45,000 D) $75,000 The amount of variable maintenance department costs allocated to the Finishing Department should be ________.


A) $37,500
B) $42,000
C) $45,000
D) $75,000

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