8.Tabarez Corporation's Maintenance Department provides services to the company's twooperating divisions-the Paints Division and the Stains Division. The variable costs of theMaintenance Department are budgeted based on the number of cases produced by theoperating departments. The fixed costs of the Maintenance Department are budgeted basedon the number of cases produced by the operating departments during the peak period. Dataappear below:Maintenance Department:Budgeted variable costBudgeted total fixed cost$ 2 per case$ 1,140,000$ 239,400$ 1,157,980Actual total variable costActual total fixed costPaints Division:30%Percentage of peak period capacity requiredBudgeted casesActual cases29,00029,040Stains Division:70%Percentage of peak period capacity requiredBudgeted casesActual cases85,00084,960For performance evaluation purposes, how much Maintenance Department cost should becharged to the Stains Division at the end of the year?A. $989,002B. $1,041,416C. $967,920 This is the answer I just don't know how to get itD. $1,019,5202

The maintenance department is in charge of and accountable for maintenance. It is in responsibility…

8. Tabarez Corporation's Maintenance Department provides services to the company's two operating divisions-the Paints Division and the Stains Division. The variable costs of the Maintenance Department are budgeted based on the number of cases produced by the operating departments. The fixed costs of the Maintenance Department are budgeted based on the number of cases produced by the operating departments during the peak period. Dat appear below: Maintenance Department: Budgeted variable cost Budgeted total fixed cost Actual total variable cost $2 per casE $ 1,140,000 $ 239,400 $ 1,157,980 Actual total fixed cost Paints Division: Percentage of peak period capacity required Budgeted cases Actual cases 30% 29,000 29,040

8. Tabarez Corporation's Maintenance Department provides services to the company's two operating divisions-the Paints Division and the Stains Division. The variable costs of the Maintenance Department are budgeted based on the number of cases produced by the operating departments. The fixed costs of the Maintenance Department are budgeted based on the number of cases produced by the operating departments during the peak period. Dat appear below: Maintenance Department: Budgeted variable cost Budgeted total fixed cost Actual total variable cost $2 per casE $ 1,140,000 $ 239,400 $ 1,157,980 Actual total fixed cost Paints Division: Percentage of peak period capacity required Budgeted cases Actual cases 30% 29,000 29,040

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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