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Pederson Uses the Direct Method of Cost Allocation and Allocates

Question 30

Multiple Choice

Pederson uses the direct method of cost allocation and allocates cost on the basis of employees.If Human Resources cost amounts to $1,800,000,how much of the department's cost would be allocated to Assembly?


A) $900,000.
B) $720,000.
C) $1,080,000.
D) $1,200,000.
E) Some other amount.

Correct Answer:

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