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What amount of personnel costs allocated to assembly will be

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Question 1: Ellis Manufacturing Company has two production departments, Assembly and Packaging, and two service departments, maintenance and personnel. Maintenance costs for the period total $20,000 and personnel costs total $9,000. All service department costs are allocated based on number of employees. Assembly has 1,000 employees, Packaging has 1,500 employees, maintenance has 100 employees, and personnel has 80 employees. The amount of personnel costs allocated to Assembly using the direct method will be:

Option a. $3,600.

Option b. $3,358.

Option c. $3,462.

Reference no: EM132520288

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