A Sanford project allocates $5,250 weekly field supervision equally across 5 active trade crews. What weekly supervision cost is assigned to one crew?
Correct Answer
D) $1,050.00
Equal supervision allocation divides total supervision cost by active crews.
Why This Is the Correct Answer
Equal supervision allocation divides total supervision cost by active crews.
Why the Other Options Are Wrong
Option A: $5,255.00
$5,255.00 is above the supported result for field supervision allocation; it likely adds an unsupported amount or compares the wrong financial base.
Option B: $26,250.00
$26,250.00 is above the supported result for field supervision allocation; it likely adds an unsupported amount or compares the wrong financial base.
Option C: $525.00
$525.00 is below the supported result for field supervision allocation; it likely uses the wrong base, period, or account bucket.
Memory Technique
Field Supervision drawer for Job-Cost Clerk: label allocation before counting dollars.
Reference Hint
Open-book path: tab Builder's Guide to Accounting, 2001 to Builder's Guide to Accounting, Job overhead allocation and cost coding; verify the trade cost, production, or field-control rule before answering.
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