MANAGERIAL ACCOUNTING FUND. W/CONNECT
5th Edition
ISBN: 9781259688713
Author: Wild
Publisher: MCG
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Textbook Question
Chapter 9, Problem 7QS
Car Mart pays $130,000 rent ecah year for its two-story building. The space in this building is occupied by five departments as specified here.
| Paint department………………………… | 1,440 sqaure feet of first-floor space |
| Engine department……………………… | 3,360 sqaure feet of first-floor space |
| Window department……………………. | 2,016 sqaure feet of second-floor space |
| Electrical department…………………… | 960 sqaure feet of second -floor space |
| Accessory department………………….. | 1,824 sqaure feet of second -floor space |
The company allocates 65% of total rent expense to the first floor and 35% to the second floor, and then allocates rent expense for each floor to the departments occupying that floor on the basis of square occupied. Determine the rent expense to be allocated to each department. (Round percents to the nearest one-tenth and dollar amounts to the nearest whole dollar.)
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Students have asked these similar questions
Lalia rents 110,000 square feet of store space for $358,000 per year. The amount of square footage by department is shown below:
Department A
45,000 square feet
Department B
30,000 square feet
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18,000 square feet
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Help allocate the annual rent expense among the four departments on the basis of relative square feet of floor space occupied.
A retailer pays $120,000 rent each year for its two-story building. Space in this building is occupied by five departments as shown
here.
Department
Jewelry
Cosmetics
Department
Housewares
Tools
Shoes
The company allocates $78,000 of total rent expense to the first floor and $42,000 to the second floor. It then allocates rent expense
for each floor to the departments on that floor based on square feet occupied.
First Floor
Jewelry Department
Cosmetics Department
Totals
Square feet occupied
1,750 (first-floor)
3,250 (first-floor)
Determine the rent expense to be allocated to each department.
Allocate these portions of total rent expense across the departments occupying
each floor.
Square Feet
Second Floor
Housewares Department
Square feet occupied
2,200 (second-floor)
950 (second-floor)
1,850 (second-floor)
Tools Department
Shoes Department
Totals
Square Feet
0
0
Percent of Total
%
%
0%
Percent of Total
Cost Allocated
$
Cost Allocated
%
%
%
0% S
0
0
A retailer pays $140,000 rent each year for its two-story building. Space in this building is occupied by five departments as shown
here.
Department
Jewelry
Cosmetics
Department
Housewares
Tools
Shoes
First Floor
Jewelry Department
Cosmetics Department
Totals
The company allocates $84,000 of total rent expense to the first floor and $56,000 to the second floor. It then allocates rent expense
for each floor to the departments on that floor based on square feet occupied.
Determine the rent expense to be allocated to each department.
Second Floor
Housewares Department
Square feet occupied
1,610 (first-floor)
2,990 (first-floor)
Tools Department
Shoes Department
Totals
Square feet occupied
1,932 (second-floor)
690 (second-floor)
1,978 (second-floor)
Square Feet
Square Feet
0
0
Percent of Total
%
%
0%
Percent of Total
%
%
0 %
Cost Allocated
$
Cost Allocated
$
0
0
Chapter 9 Solutions
MANAGERIAL ACCOUNTING FUND. W/CONNECT
Ch. 9 - Prob. 1MCQCh. 9 - Prob. 2MCQCh. 9 - Prob. 3MCQCh. 9 - Prob. 4MCQCh. 9 - 5. Using the data in question 4, Department X’s...Ch. 9 - Prob. 1DQCh. 9 - Prob. 2DQCh. 9 - Prob. 3DQCh. 9 - Prob. 4DQCh. 9 - Prob. 5DQ
Ch. 9 - Prob. 6DQCh. 9 - Prob. 7DQCh. 9 - Prob. 8DQCh. 9 - Prob. 9DQCh. 9 - Prob. 10DQCh. 9 - Prob. 11DQCh. 9 - Prob. 12DQCh. 9 - Prob. 13DQCh. 9 - Prob. 14DQCh. 9 - Prob. 15DQCh. 9 - Prob. 16DQCh. 9 - Prob. 17DQCh. 9 - Prob. 18DQCh. 9 - Prob. 19DQCh. 9 - Prob. 20DQCh. 9 - Prob. 1QSCh. 9 - Prob. 2QSCh. 9 - Prob. 3QSCh. 9 - In each blank next to the following terms, place...Ch. 9 - Prob. 5QSCh. 9 - In each blank to the following terms, place the...Ch. 9 - Car Mart pays $130,000 rent ecah year for its...Ch. 9 - Prob. 8QSCh. 9 - Compute return on investment for each of the...Ch. 9 - Computing residual income A1 Refer to the...Ch. 9 - Prob. 11QSCh. 9 - Computing profit margin and investment turnover A2...Ch. 9 - Classify each the performance measures below into...Ch. 9 - Prob. 14QSCh. 9 - Prob. 15QSCh. 9 - Prob. 16QSCh. 9 - Prob. 17QSCh. 9 - Prob. 18QSCh. 9 - Prob. 19QSCh. 9 - Prob. 1ECh. 9 - Prob. 2ECh. 9 - Prob. 3ECh. 9 - Prob. 4ECh. 9 - Prob. 5ECh. 9 - Prob. 6ECh. 9 - Jansen Company reports the following for its ski...Ch. 9 - Prob. 8ECh. 9 - Prob. 9ECh. 9 - Prob. 10ECh. 9 - Prob. 11ECh. 9 - Prob. 12ECh. 9 - Prob. 13ECh. 9 - Prob. 14ECh. 9 - Exercise 22-16 Performance measures-balanced...Ch. 9 - Oakwood Company produces maple bookcases to...Ch. 9 - Best Ink produces ink-jet printers for personal...Ch. 9 - The trailer division of Baxter Bicycles makes bike...Ch. 9 - Prob. 19ECh. 9 - Prob. 20ECh. 9 - Prob. 21ECh. 9 - Prob. 1PSACh. 9 - National Bank has several departments that occupy...Ch. 9 - Prob. 3PSACh. 9 - Prob. 4PSACh. 9 - Prob. 5PSACh. 9 - Prob. 1PSBCh. 9 - Harmons has several departments that occupy all...Ch. 9 - Prob. 3PSBCh. 9 - Sadar Company operates a store with two...Ch. 9 - Prob. 5PSBCh. 9 - Santana Reys two departments, computer consulting...Ch. 9 - Prob. 1BTNCh. 9 - Prob. 2BTNCh. 9 - Prob. 3BTNCh. 9 - Prob. 4BTNCh. 9 - Prob. 5BTNCh. 9 - Prob. 6BTNCh. 9 - Brian Lintons company, United By Blue, sells...Ch. 9 - Prob. 8BTNCh. 9 - Prob. 9BTN
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