1. Determine the total estimated overhead cost for each of the producing departments after allocating the cost of the service department. A. Using employee headcount as the allocation base.B. Using occupied space as the allocation base.C. Using productive capacity as the allocation base.D. Using the 3-year average use as the allocation base. Sign In Connect | McGraw H x M Question 3- QUIZ - CH 07-C Xucation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A %252F%252Fbb.tulsacc.edu%252Fw...071ces2Required informationExercise 7-25 (Algo) Selection of an Allocation Base [LO 7-1, 7-3][The following information applies to the questions displayed below.]DepartmentP1P2S1Great Ape Glassworks manufactures glass used for the screens on smartphones. It has two producing departments, P1and P2, and only one service department, S1. The company is able to track overhead to the various departments butwants to allocate the service department costs to the producing departments. However, the company is not sure which ofthe multiple allocation bases should be selected. The data it collected appear in the table below.Part 1 (Algo)Potential allocation baseEmployee headcountSpace used (in square feet)Productive capacity (in units)*3-year average percentage of S1 output usedWOverheadAssigned$ 151,500252,25075,000a. Using employee headcount as the allocation base#320ERequired:1. Determine the total estimated overhead cost for each of the producing departments after allocating the cost of the servicedepartment:a. Using employee headcount as the allocation base.b. Using occupied space as the allocation base.c. Using productive capacity as the allocation base.d. Using the 3-year average use as the allocation base.$4000000R%5SavedP1< PrevTP1^6602,70025,20060%Cost Allocation in Service Ind X3 of 6YP2MacBook ProwwwAP2206,300100,80040%&7$TotalNext▶IIU* 0080+1(9(0HelpBE0a

Overhead Costing -The ongoing expenses of a business that are not directly associated with…

1. Determine the total estimated overhead cost for each of the producing departments after allocating the cost of the service department. A. Using employee headcount as the allocation base. B. Using occupied space as the allocation base. C. Using productive capacity as the allocation base. D. Using the 3-year average use as the allocation base.

1. Determine the total estimated overhead cost for each of the producing departments after allocating the cost of the service department. A. Using employee headcount as the allocation base. B. Using occupied space as the allocation base. C. Using productive capacity as the allocation base. D. Using the 3-year average use as the allocation base.

Quickbooks Online Accounting

3rd Edition

ISBN:9780357391693

Author:Owen

Publisher:Owen

Chapter5: Operating Activities: Purchases And Cash Payments

Section: Chapter Questions

Problem 2.1C

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