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Use the information below to answer the question Gross profit b/d Less: Salaries and wa...


Question

Use the information below to answer the question

Gross profit b/d
Less: Salaries and wages
Electricity
Depreciation
Net profit c/d

Dept A

6,000
1,800
?
600
?
6,000

Dept B

4,000
1,200
?
?
1,600
4,000

Total

10,000
3,000
2,000
1,000
4,000
10,000

It is the tradition of the organization to apportion expenses in the proportion 60%:40% for A and B respectively.

The depreciation to be charged to department B is

Options

A)
₦500
B)
₦300
C)
₦400
D)
₦600

The correct answer is C.


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