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    Fundamentals of Cost Accounting Study Set 2
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    Exam 11: Service Department and Joint Cost Allocation
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    The Equation for Department P2 (Final Assembly)is
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The Equation for Department P2 (Final Assembly)is

Question 34

Question 34

Multiple Choice

The equation for department P2 (final assembly) is


A) P2 = .25S1 + .50S2 + .30S3.
B) P2 = $775,000 + .25P2 + .20P3 + .15S2 + .10S3.
C) P2 = $775,000 + .30S1 + .50S2 + .20S3.
D) P2 = $775,000 + .25S1 + .50S2 + .30S3.

Correct Answer:

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