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# \$1.00Can somebody help me please

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Q:

San Juan
Minerals (SJM) has two service departments and two operating departments.
Operating data

for these
departments for last year are as follows:

Service
Departments Operating Departments

Maintenance
Cafeteria Mining Processing

Departmental
costs \$48,000 \$45,000 \$70,000 \$130,000

Machine hours
2,000 1,000 11,000 9,000

Number of
employees 40 30 400 360

Costs of the
Maintenance Department are allocated on the basis of machine hours. Cafeteria
costs are

allocated on
the basis of number of employees. SJM does not distinguish between variable and
fixed

costs.

A.) Assuming
that SJM allocates service department costs using the direct method, the total

cost allocated
from Cafeteria to Mining would be closest to:

is the answer? 22,500.    21,687.  15,750 or 23,684

B) Assume
that SJM uses the step method to allocate service department costs, starting with
Maintenance. The total overhead allocated from Maintenance to Mining would be closest to:

Is the answer ?  \$16,800.  \$25,143. \$22,957.or \$51,150.

Available Tutorials to this Question

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Guaranteed Answers : Cafeteria to Mining direct method, Maintenance to Mining step method .
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• Posted on Mar 17, 2012 at 12:00:18PM
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Preview: ... SJM allocates service department costs using the direct method, the t ...

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A+ Answer: Direct Cost and Step Method
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• Posted on Apr 01, 2012 at 11:02:54PM
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