The following departmental information is for the four departments at Samoa Industries. Departmental Total Cost Cost Driver Square Feet Number of Employees Janitorial $150,000 Cafeteria 50,000 Cutting 1,125,000 Assembly 1,100,000 Square footage serviced a. Cutting Department b. Assembly Department Number of employees % 200 % 20,000 4,000 16,000 40 The Janitorial and Cafeteria departments are support departments. Determine the proportional (percentage) usage of the Janitorial Department by the (a) Cutting and (b) Assembly departments using the direct method. 40 12 120
The following departmental information is for the four departments at Samoa Industries. Departmental Total Cost Cost Driver Square Feet Number of Employees Janitorial $150,000 Cafeteria 50,000 Cutting 1,125,000 Assembly 1,100,000 Square footage serviced a. Cutting Department b. Assembly Department Number of employees % 200 % 20,000 4,000 16,000 40 The Janitorial and Cafeteria departments are support departments. Determine the proportional (percentage) usage of the Janitorial Department by the (a) Cutting and (b) Assembly departments using the direct method. 40 12 120
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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