Answer: 44,000 square feet.
Explanation:
If we are assuming use of the direct method, we can find out how the building maintenance cost will be allocated using the following formula,
Building Maintenance cost square feet allocation = Square Footage of Machining + Square Footage of Assembly
Slotting in the figures we have,
= 18,000 + 26,000
= 44,000 square feet.
The Building Maintenance cost will be allocated over 44,000 square feet.
Answer:
The correct answer is B
Explanation:
The amount of cash to be collected or received in the month of July is computed as:
Amount of cash received in the July month = (July Sales × 10%) + (June Sales × 90% × 75%) + (May Sales × 90% × 17%) + (April Sales × 90% × 6%)
where
July Sales is $58,000
June Sales is $56,000
May Sales is $50,000
April Sales is $46,000
Putting the values:
= ($58,000 × 10%) + ($56,000 × 90% × 75%) + ($50,000 × 90% × 17%) + ($46,000 × 90% × 6%)
= $5,800 + $37,800 + $7,650 + $2,484
= $53,734
They can lead to unethical behavior.
