Longworth Manufacturing has two producing departments, machining and assembly, and two servicedepartments, personnel and custodial. The company’s budget for April 20X1 is as follows:

Service Departments Production Departments
Personnel Custodial Machining Assembly
Direct department costs $45,000 $70,000 $600,000 $800,000
Square feet 2,000 1,000 10,000 25,000
Number of employees 15 30 200 250
Longworth allocates personnel costs on the basis of number of employees and custodial costs on thebasis of square feet.

Required:
a. Allocate personnel and custodial costs to the producing departments using the direct method.
b. Allocate personnel and custodial costs to the producing departments using the step-down method. Allocate personnel costs first.

You want to paint your room yellow, so you get some samples at the paint store. when you hold the sample against your white wall, it looks different from the way it looks against the green curtain. a psychologist would attribute this to perceptual constancy. visual paradoxes. contrast effects. threshold differences.

Nichols inc. manufactures remote controls. currently the company uses a plantminuswide rate for allocating manufacturing overhead. the plant manager is considering switchingminusover to abc costing system and has asked the accounting department to identify the primary production activities and their cost drivers which are as follows: activities cost driver allocation rate material handling number of parts $5 per part assembly labor hours $20 per hour inspection time at inspection station $10 per minute the current traditional cost method allocates overhead based on direct manufacturing labor hours using a rate of $20 per labor hour. what are the indirect manufacturing costs per remote control assuming an method is used and a batch of 10 remote controls are produced? the batch requires 100 parts, 5 direct manufacturing labor hours, and 3 minutes of inspection time.

Atelephone call center uses three customer service representatives (csrs) during the 8: 30 a. m. to 9: 00 a. m. time period. the standard service rate is 3.0 minutes per telephone call per csr. assuming a target labor utilization rate of 80 percent, how many calls can these three csrs handle during this half-hour period?