Journalizing the distribution of service department costs to production departments
Required:
Using your solution to P4-7 above, prepare journal entries for the following:
(1) The distribution of the total factory overhead of $79,400 to the individual production and service departments where it originated.
(2) The distribution of the Building Maintenance overhead to the appropriate other departments.
(3) The distribution of the Factory Office overhead to the appropriate other departments.
Reference: P4- 7
Distribution of service department costs to production departments using the sequential distribution method
similar to Self-Study Problem 1
Required:
Using the information in P4-6 above, prepare a schedule showing the distribution of the service departments’ expenses using the sequential distribution method in the order of number of other departments served. (Hint: First distribute the service department that services the greater number of other departments.)
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