Multiple Choice
(Appendix 12B) For performance evaluation purposes, the variable costs of a service department should be charged to operating departments using:
A) the actual variable rate and the budgeted level of activity for the period.
B) the budgeted variable rate and the actual level of activity for the period.
C) the budgeted variable rate and the budgeted level of activity for the period.
D) the actual variable rate and the peak-period or long-run average servicing capacity.
Correct Answer:

Verified
Correct Answer:
Verified
Q14: (Appendix 12B)Manning Products, Inc. , operates an
Q15: (Appendix 12B)The fixed costs of service departments
Q16: (Appendix 12B)Sheinberg Corporation has two operating divisions-a
Q17: (Appendix 12B)Henry Company has an Equipment Services
Q18: (Appendix 12B)Delta Railroad has two operating divisions-Freight
Q20: (Appendix 12B)Nathan Company has an Equipment Services
Q21: (Appendix 12B)The Hudson Block Company has a
Q22: (Appendix 12B)The medical services department of Bantam
Q23: (Appendix 12B)If a portion of the actual
Q24: (Appendix 12B)Sheinberg Corporation has two operating divisions-a