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Quinlan Trust Corporation has two service departments: actuary and economic analysis. Quinlan
also has three operating departments: annuity, fund management, and employee benefit services.
The annual costs of operating the service departments are $572,000 for actuary and $858,000 for
economic analysis. Quinlan uses the direct method to allocate service center costs to operating
departments. Other relevant data follow. *The operating costs are measured before allocating
service center costs
Use operating costs as the cost driver for allocating service center costs to operating d Note:
Round "Allocation Rate" to 2 decimal places.
Use revenue as the cost driver for allocating service center costs to operating departments. Note:
Round "Allocation Rate" to 2 decimal places.

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Quinlan Trust Corporation has two service departments actuary and e.pdf

  • 1. Quinlan Trust Corporation has two service departments: actuary and economic analysis. Quinlan also has three operating departments: annuity, fund management, and employee benefit services. The annual costs of operating the service departments are $572,000 for actuary and $858,000 for economic analysis. Quinlan uses the direct method to allocate service center costs to operating departments. Other relevant data follow. *The operating costs are measured before allocating service center costs Use operating costs as the cost driver for allocating service center costs to operating d Note: Round "Allocation Rate" to 2 decimal places. Use revenue as the cost driver for allocating service center costs to operating departments. Note: Round "Allocation Rate" to 2 decimal places.