Caro Manufacturing has two production departments, Machining and Assembly, and two service departments, Maintenance and Cafeteria. Direct costs for each department and the proportion of service costs used by the various departments for the month of August follow:
Proportion of Services Used by | |||||||||||
Department | Direct Costs | Maintenance | Cafeteria | Machining | Assembly | ||||||
Machining | $ | 103,000 | |||||||||
Assembly | 72,400 | ||||||||||
Maintenance | 44,800 | — | 0.2 | 0.6 | 0.2 | ||||||
Cafeteria | 36,000 | 0.6 | — | 0.2 | 0.2 | ||||||
Required:
Compute the allocation of service department costs to producing departments using the direct method. (Do not round intermediate calculations.)
Allocation
Maintenance | cafeteria | Machining | Assembly | |
Service department cost | 44800 | 36000 | ||
Allocation of maintenance | -44800 | 0 | 33600 | 11200 |
Allocation of cafeteria | 0 | -36000 | 18000 | 18000 |
Allocated cost | 0 | 0 | 51600 | 29200 |
Caro Manufacturing has two production departments, Machining and Assembly, and two service departments, Maintenance and...
Caro Manufacturing has two production departments, Machining and Assembly, and two service departments, Maintenance and Cafeteria. Direct costs for each department and the proportion of service costs used by the various departments for the month of August follow: Proportion of Services Used by Department Direct Costs Maintenance Cafeteria Machining Assembly Machining $ 96,000 Assembly 70,400 Maintenance 43,600 — 0.2 0.5 0.3 Cafeteria 35,000 0.6 — 0.2 0.2 Compute the allocation of service department costs to producing departments using the direct...
Caro Manufacturing has two production departments, Machining and
Assembly, and two service departments, Maintenance and Cafeteria.
Direct costs for each department and the proportion of service
costs used by the various departments for the month of August
follow:
Required:
Compute the allocation of service department costs to producing
departments using the direct method. (Do not round
intermediate calculations.)
Required information [The following information applies to the questions displayed below] Caro Manufacturing has two production departments, Machining and Assembly, and two...
Caro Manufacturing has two production departments, Machining and Assembly, and two service departments, Maintenance and Cafeteria. Direct costs for each department and the proportion of service costs used by the various departments for the month of August follow: Proportion of Services Used by Direct Machining Maintenance Cafeteria Assembly Department Machining Assembly Maintenance Costs $120,000 76,000 45,000 37,000 0.1 0.6 0.3 Cafeteria 0.6 0.2 0.2 Required: Use the step method to allocate the service costs, using the following: a. The order...
Caro Manufacturing has two production departments, Machining and Assembly, and two service departments, Maintenance and Cafeteria. Direct costs for each department and the proportion of service costs used by the various departments for the month of August follow: Proportion of Services Used by Department Direct Costs Maintenance Cafeteria Machining Assembly Machining $ 89,000 Assembly 56,400 Maintenance 35,200 — 0.2 0.5 0.3 Cafeteria 28,000 0.8 — 0.1 0.1 Required: Compute the allocation of service department costs to producing departments using the...
Caro Manufacturing has two production departments, Machining and Assembly, and two service departments, Maintenance and Cafeteria. Direct costs for each department and the proportion of service costs used by the various departments for the month of August follow: Proportion of Services Used by Department Direct Costs Maintenance Cafeteria Machining Assembly Machining $ 145,000 Assembly 75,000 Maintenance 49,000 — 0.1 0.5 0.4 Cafeteria 41,000 0.6 — 0.2 0.2 Required: Use the step method to allocate the service costs, using the following:...
Caro Manufacturing has two production departments, Machining and Assembly, and two service departments, Maintenance and Cafeteria. Direct costs for each department and the proportion of service costs used by the various departments for the month of August follow: Proportion of Services Used by Department Direct Costs Maintenance Cafeteria Machining Assembly Machining $ 135,000 Assembly 84,000 Maintenance 51,000 — 0.3 0.3 0.4 Cafeteria 36,000 0.7 — 0.2 0.1 Required: Use the step method to allocate the service costs, using the following:...
Caro Manufacturing has two production departments, Machining and Assembly, and two service departments, Maintenance and Cafeteria. Direct costs for each department and the proportion of service costs used by the various departments for the month of August follow: Proportion of Services Used by Department Direct Costs Maintenance Cafeteria Machining Assembly Machining $ 120,000 Assembly 69,000 Maintenance 55,000 — 0.3 0.5 0.2 Cafeteria 35,000 0.6 — 0.2 0.2 Required: Use the reciprocal method to allocate the service costs. (Matrix algebra is...
Caro Manufacturing has two production departments, Machining and Assembly, and two service departments, Maintenance and Cafeteria. Direct costs for each department and the proportion of service costs used by the various departments for the month of August follow: Department Direct Costs Maintenance Cafeteria Machining Assembly Machining 99,000 Assembly 64,400 Maintenance 40,000 - 0.2 0.5 0.3 Cafeteria 32,000 0.8 - 0.1 0.1 Required: Compute the allocation of service department costs to producing departments using the direct method. (Do not round intermediate...
Caro Manufacturing has two production departments, Machining and Assembly, and two service departments, Maintenance and Cafeteria. Direct costs for each department and the proportion of service costs used by the various departments for the month of August follow: Proportion of Services Used by Maintenance Cafeteria Machining Assembly Department Machining Assembly Maintenance Cafeteria Direct Costs $105,000 79,000 51,000 33,000 0.1 0.6 0.2 0.3 0.2 0.6 Required: Use the reciprocal method to allocate the service costs. (Matrix algebra is not required.) (Negative...
Caro Manufacturing has two production departments, Machining and Assembly, and two service departments, Maintenance and Cafeteria. Direct costs for each department and the proportion of service costs used by the various departments for the month of August follow: Proportion of Services Used by Department Direct Costs Maintenance Cafeteria Machining Assembly Machining $ 105,000 Assembly 77,000 Maintenance 53,000 — 0.2 0.5 0.3 Cafeteria 38,000 0.6 — 0.2 0.2 Required: Use the step method to allocate the service costs, using the following:...