Allie, Inc. has two service departments and two operating departments. Allie allocates service department costs using the step-down method, with the service department with the highest cost allocated first. Initial cost for service department 1 was $140,000, and for service department 2, $100,000. Service department 1 is allocated on the basis of department employees, while service department 2 is allocated on the basis of square feet. Cost driver usage is as follows:
Service 1 Service 2 Operating 1 Operating 2
Employees 50 10 20 40
Square Feet 12,000 16,000 22,000 18,000
What are the total service department costs allocated to Operating 2?
We need at least 10 more requests to produce the answer.
0 / 10 have requested this problem solution
The more requests, the faster the answer.
Allie, Inc. has two service departments and two operating departments. Allie allocates service department costs using...
Hanung Corp has two service departments, Maintenance and Personnel. Maintenance Department costs of $360,000 are allocated on the basis of budgeted maintenance−hours. Personnel Department costs of $140,000 are allocated based on the number of employees. The costs of operating departments A and B are $200,000 and $300,000, respectively. Data on budgeted maintenance−hours and number of employees are as follows: Support Departments Production Departments Maintenance Department Personnel Department A B Budgeted costs $360,000 $140,000 $200,000 $300,000 Budgeted maintenance−hours NA 860 1,210...
Dunnes Stores has two service department, Advertising and Administration, and two operating departments, Hardware and Automotive. Sales, COGS, and direct expenses are given below. Complete the following table, including allocation of $220,000 of indirect costs. Indirect costs are allocated on the basis of square footage:... Advertising Department:750 square feet, Administration Department:1,500 square feet, Hardware Department: 3,000 square feet, Automotive Department: 9,750 square feet Dunnes Stores Revenues and Expenses Y/E December 31, 2018 Service Departments Operating Departments Totals Advertising Admin Hardware...
The California Community Hospital has two service departments, Cafeteria and Housekeeping, and two operating departments, Surgery and Outpatient. The hospital uses the direct method to allocate service department costs to operating departments. It allocates Cafeteria costs based on the number of employees. Cafeteria $40,000 20,000 Departmental costs before allocation Number of employees Housekeeping $10,000 15,000 Surgery $140,000 15,000 Outpatient $360,000 45,000 Total $550,000 Knowledge Check 01 How much Cafeteria cost should be allocated to the Surgery department? $6,316 $8,000 $30,000...
Anderson Enterprises has three service departments, Administration, Maintenance and security and two production departments, Machining and Assembly. Total Manufacturing overhead was either directly traced or allocated to all of the departments resulting gin a total of $300,000 of overhead in the Maintenance Department, $240,000 in the administration department, $135,000 in the security department, $1,000,000 in the machining department and $300,000 in the assembly department. The company allocates service department cost using the step method. The maintenance department overhead is allocated...
uper Grocery store allocates its service department expenses to its various operating (sales) departments. The following data is available for its service departments: Expense Basis for allocation Amount Administrative Square feet of floor space $ 30,000 Advertising Amount of dollar sales $ 23,000 The following information is available for its three operating (sales) departments: Department Square Feet Dollar Sales Produce 1,350 $ 95,000 Bakery 900 $ 45,000 Meats 2,250 $ 57,000 Totals 4,500 $ 197,000 What is the total administrative...
Using the direct method, Pone HI Company allocates Janitorial Department costs based on square footage serviced. It allocates Cafetaria Department costs based on the number of employees served. It has the following information about its two service departments and two production departments, Cutting and Assembly Number of Square Feet Employees Janitorial Department 100 Cafeteria Department 10,000 10 Cutting Department 2,000 60 Assembly Department 8,000 20 If the Janitorial Department incurs costs of $200,000, how much of that cost is allocated...
Hanung Corp has two service departments, Maintenance and Personnel. Maintenance Department costs of $390,000 are allocated on the basis of budgeted maintenance−hours. Personnel Department costs of $190,000 are allocated based on the number of employees. The costs of operating departments A and B are $232,000 and $348,000, respectively. Data on budgeted maintenance−hours and number of employees are as follows: Support Departments Production Departments Maintenance Department Personnel Department A B Budgeted costs $390,000 $190,000 $232,000 $348,000 Budgeted maintenance−hours NA 880 1,220...
YaBaDaBaDoo Inc. has two Support Departments and two Operating Departments, Budgeted costs and budgeted activity in the various departments for the most recent year presented below Cafeteria Custodia Services 5224197 1395 Assembly Department 5817031 5144295 Cutting Department 5626866 7012 Overhead Costs Square Metres of Space Occupied Number of Employees Machine Hour 1254 11105 20 30 150 200 60.000 40.000 Support Department costs are allocated to Operating Departments with the costs of Custodial Services allocated first on the basis of square...
BluStar Company has two service departments, Administration and Accounting, and two operating departments, Domestic and International. Administration costs are allocated on the basis of employees, and Accounting costs are allocated on the basis of number of transactions. A summary of BluStar operations follows. Administration Accounting Domestic International Employees – 28 46 26 Transactions 32,000 – 25,000 100,000 Department direct costs $ 363,000 $ 145,000 $ 935,000 $ 3,590,000 Required: a. Allocate the cost of the service departments to the operating...
Hanung Corp has two service departments, Maintenance and Personnel. Maintenance Department costs of $320,000 are allocated on the basis of budgeted maintenance−hours. Personnel Department costs of $140,000 are allocated based on the number of employees. The costs of operating departments A and B are $184,000 and $276,000, respectively. Data on budgeted maintenance−hours and number of employees are as follows: Support Departments Production Departments Maintenance Department Personnel Department A B Budgeted costs $320,000 $140,000 $184,000 $276,000 Budgeted maintenance−hours NA 900 1,300...