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HR costs that should be allocated to each department
Denver Company's human resources department provides training and other services to the company's three operating departments and to one service department. The assembly department has 82 employees; the finishing department has 16 employees; and the sales department has 9 employees. The service department to which human resources provides services is the maintenance department, which has 13 employees. The human resources department costs are allocated using the direct method and based on the number of employees, and the total amount of costs for the department is $187,000.RequiredDetermine the amount of human resources cost that should be allocated to each department.
Foster Electronics currently produces the shipping containers it uses to deliver the electronics products it sells. The monthly cost of producing 9,000 containers follows:
Unit-level materials $9,000Unit-label labor 12,000Unit-level overhead 7,800Product level costs 18,000Allocated facility-level costs 45,000* One third of these cots could be avoided by purchasing the containers.Piazza Container Company has offered to sell comparable containers to Foster for $ 4.50 each.
RequiredShould Foster continue to make the containers? Support your answer with appropriate computations.
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Your training and development session about teams with the managers went very well, so well that the participants expressed a desire to have some of the information that you discussed to be available in writing so they can reference it, as needed. On..
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