Pecos Flats, an ecotourism business, has two service centers, Human Resources and Financial Resources. They provide services

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Pecos Flats, an ecotourism business, has two service centers, Human Resources and Financial Resources. They provide services to each other as well as to two revenue centers, Desert Adventures and Sea Adventures. Data for the revenue centers’ summer season are as follows:


Pecos Flats, an ecotourism business, has two service centers, Hu


Human Resources had total costs of $250,000, and Financial Resources had total costs of $120,000. Human Resources’ costs are assigned based on the number of revenue centers, and Financial Resources’ costs are assigned based on center revenue. Overhead costs are applied on the basis of trips sold. Assign service center costs to the revenuecenters.

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Managerial Accounting

ISBN: 978-0618777181

8th Edition

Authors: Susan V. Crosson, Belverd E. Needles

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