Answer the Following Questions Using the Information Below

Multiple Choice

Answer the following questions using the information below:
King Corporation has two departments, Small and Large. Central costs could be allocated to the two departments in various ways.

-If total payroll processing costs of $96,000 are allocated on the basis of number of employees, the amount allocated to the Small Department would be:

A) $67,200
B) $24,000
C) $16,000
D) $28,000