Provide answer please A department store has three divisions, A, B, and C, and conducts general advertising thatbenefits all divisions. The total advertising expense for the year is $60,000. The sales foreach division are as follows:• Division A: $500,000⚫Division B: $400,000• Division C: $300,000Allocate the advertising expenses to Division B based on the proportion of total sales.

Step 1: Definition of Allocating Advertising Expenses Based on Sales ProportionAllocating…

Answered: A department store has three divisions,…

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter25: Departmental Accounting

Section: Chapter Questions

Problem 1CE

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Adams Cough Drops operates two divisions. The following information pertains to each division for Year 1. \table[[, Division A, Division B], [Sales, $203,000, $78,000
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Macee Store has three operating departments, and it conducts advertising that benefits all departments. Advertising costs are $108,000. Sales for its operating departments follow. Department 2 Sales $ 272,500 523, 200 294,300 How much advertising cost is allocated to each operating department If the allocation is based on departmental sales? (Do not round your intermediate calculations.) Department Sales Percent of Total 1 2 3 Total % % % % Cost Allocated
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Macee Store has three operating departments, and it conducts advertising that benefits all departments. Advertising costs are $110,000. Sales for its operating departments follow. Department Sales 1 $ 247,500 2 455,400 3 287, 100 How much advertising cost is allocated to each operating department if the allocation is based on departmental sales? Note: Do not round your intermediate calculations.
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