The IT department allocates indirect costs to user de­partments on the basis of CPU time at the rate of $2000 per second. For the first quarter, the two heavi­est use departments logged 900 and 1300 seconds, respectively. If the IT indirect budget for the year is $19.56 million, the percentage of this year’s alloca­tion consumed by these departments is closest to: (choose one)

(a) 22.5%
(b) 32%
(c) 55%
(d) 67%


Allocation = (900 + 1300)(2000)
= $4.4 million
Percent allocated = 4.4/19.56 million
= 0.225 (22.5%)

Answer is (a) 22.5%

Trades & Technology

You might also like to view...

Technician A says spool valves are normally used as relief valves. Technician B says the most common type of valve used in automatic transmissions is the spool valve. Who is correct?

A. A only B. B only C. Both A and B D. Neither A nor B

Trades & Technology

A measurement of the diameter of a disk has an uncertainty of 1.5 mm. How many measurements must be made so that the diameter can be estimated with an uncertainty of only 0.5 mm?

What will be an ideal response?

Trades & Technology

A technician has spent 1.6 hours to service the cooling system, 2.1 hours to R&R one knock sensor, 1.8 hours to R&R the water pump. The knock sensor was $56.97, the water pump was $276.42, and the coolant was $3.16/qt. Seven quarts were required. The labor rate is $77.50/hour and the tax rate on parts is 7.3%. Determine the following: Total for parts

Fill in the blank(s) with the appropriate word(s).

Trades & Technology

What is the best stage of openness for harvesting most flower species that have a spike-shaped inflorescence?

What will be an ideal response?

Trades & Technology