Allocated 15 to administration 15 to two day delivery

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Unformatted text preview: l Projects.) Make your computations before continuing. One Cost Center Multiple Cost Centers •••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• ____________________________________________________________________________________________________________ David W. Young • Management Accounting for Managers • Chapter 1 Page 18 Copyrighted Material. Do not reproduce without written permission. Answer: If the company used one cost center, it would calculate its hourly cost as follows: Total costs Total hours Average cost per hour $200,000 15,625 12.80 ($200,000 ÷ 15,625) If, on the other hand, the company decided to use multiple cost centers, it would hav...
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