13. BEA CORPORATON distributes service department overhead costs directly to producing deparmtns without allocation to the other service department. Information for the month of June 2011 is as follows: Service Department Maintenance Utilities Overhead costs incurred P 20,000 P 10,000 Service provided to: Maintenance department Utilities departnent Producing A Producing B 10% 20% 40% 30% 40% 60% ТОTAIS 100% 100% The amount of maintenance department costs distrbuted to Producing - A Department for June 2011 was: A P 8,000 В P 8,800 ср 10,000 D P 11,000

Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter7: Allocating Costs Of Support Departments And Joint Products
Section: Chapter Questions
Problem 28E: Minor Co. has a job order cost system and applies overhead based on departmental rates. Service...
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13.
BEA CORPORATION distributes service department overhead costs directly to producing deparmtns without
allocation to the other service department. Information for the month of June 2011 is as follows:
Service Department
Maintenance
Utilities
Overhead costs incurred
P
20,000 P
10,000
Service provided to:
Maintenance department
Utilities department
10%
20%
Producing A
Producing B
40%
30%
40%
60%
ТОTALS
100%
100%
The amount of maintenance department costs distrbuted to Producing - A Departmnent for June 2011 was:
A P 8,000
B
P 8,800
C P 10,000
D P 11,000
CELESTE COMPANY distributed the service department overhead costs directly to producing department without
allocation to the other service department. Information for the month of January 2011 is as follows:
14
Service Department
Maintenance
Utilities
Overhead costs incurred
P
18,700 P
9,000
Service provided to:
Maintenance department
Utilities department
Producing A
Producing B
10%
20%
40%
30%
40%
60%
TОTALS
100%
100%
The amount of utilities department costs distributed to Producing Department - B for January 2011 should be:
A P 3,600
В
P 4,500
сР 5,400
D
P 6,000
Transcribed Image Text:13. BEA CORPORATION distributes service department overhead costs directly to producing deparmtns without allocation to the other service department. Information for the month of June 2011 is as follows: Service Department Maintenance Utilities Overhead costs incurred P 20,000 P 10,000 Service provided to: Maintenance department Utilities department 10% 20% Producing A Producing B 40% 30% 40% 60% ТОTALS 100% 100% The amount of maintenance department costs distrbuted to Producing - A Departmnent for June 2011 was: A P 8,000 B P 8,800 C P 10,000 D P 11,000 CELESTE COMPANY distributed the service department overhead costs directly to producing department without allocation to the other service department. Information for the month of January 2011 is as follows: 14 Service Department Maintenance Utilities Overhead costs incurred P 18,700 P 9,000 Service provided to: Maintenance department Utilities department Producing A Producing B 10% 20% 40% 30% 40% 60% TОTALS 100% 100% The amount of utilities department costs distributed to Producing Department - B for January 2011 should be: A P 3,600 В P 4,500 сР 5,400 D P 6,000
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