Waterford company maintains a cafeteria for its employees. for june, variable food costs were budgeted at $64 per employee based on a budgeted level of 390 employees in other departments. during the month, an average of 380 employees worked in other departments and actual food costs totaled $11,150. how much food cost should be charged to the other departments at the end of the month for performance evaluation purposes?

a. $24,960.

b. $11,150.

c. $24,320.

d. $11,443.

variable food cost allocated to other department is $24320

So option (c) will be the correct answer

Explanation:

We have given variable food cost were budgeted at $64 per employee

Average of employee = 380

We have to find the food cost allocated to the other department

Variable food cost allocated to the other department = 380×$24 = $24320

So variable food cost allocated to other department is $24320

So option (c) will be the correct answer

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