Joe bank has two branches, main and country. His company has 3service departments, information tech (it), personnel and finance. Data is as follows

DEPARTMENT         COST          # ITHOURS       #EMPLOYEES        # FINANCETRANS

IT                                 $425,000                 0                    10                         77
PERSONNEL              $550,000              2333                  0                          85
FINANCE                    $742,000              1200                  8                           0
MAIN                           $800,000              3500                 50                       1200
COUNTRY                  $725,000              4500                 35                       1350
TOTALS                      $3,242,000           11533              103                       2712

All costs are allocated to the two branches. It cost is allocated on # of it hours.
Personnel cost is allocated based on # of people
finance costs are allocated on # of finance transactions

Using the direct method what is the total cost that will be allocated to the two branches?

What is the total cost of each braches?

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An organization has various branches with different departments Each cost and o... View the full answer