The Long Term Care Plus Company Has Two Service Departments

Multiple Choice

The Long Term Care Plus Company has two service departments — actuarial and premium rating, and two operations departments — marketing and sales. The distribution of each service department's efforts to the other departments is shown below:The total cost accumulated in the sales department using the step method is (calculate all ratios and percentages to 4 decimal places, for example 33.3333%, and round all dollar amounts to the nearest whole dollar; assume that the actuarial department goes first) :

A) $100,000.
B) $104,000.
C) $126,000.
D) $130,000.
E) $135,000.