PLS ANSWER AND SHOW SOLUTION d.4.8020.00A summary of the usage of the service department services by other servicedepartments as well as by the two producing departments is as follows:EquipmentService Cost Center Supervision Maintenance Occupancy Dept.1 Dept. 2BuildingProduction Dept.SupervisionEquipment maint.Building occunpany 10%Direct costs in the various departments are as follows:10%5%40%45%45%55%10%35%45%Direct CostP 35,00030,00090,000350,000450,00020. If the direct method of allocation is used, how much of the supervisiondepartment's cost would be allocated to the building occupancy department?DepartmentSupervisionEquipment maintenanceBuilding occupancyProduction Dept. No. 1Production Dept. No. 2LabelSIS2S3P1P2(Start with Building occupancy, then Supervision)а.b. P 1,750P 3,500d. P5.250с.

We first need to understand the meaning of direct method of cost allocation. In this method, cost of…

A summary of the usage of the service department services by other service departments as well as by the two producing departments is as follows: Equipment Building Production Dept. Dept. I Dept. 2 40% Service Cost Center Supervision Maintenance Occupancy Supervision Equipment maint. Building occunpany 10% Direct costs in the various departments are as follows: 10% 5% 45% 45% 55% 10% 35% 45% Department Supervision Equipment maintenance Building occupancy Production Dept. No. 1 Production Dept. No. 2 Direct Cost 35,000 30,000 90,000 350,000 450,000 Label SI S2 S3 P1 P2 20. If the direct method of allocation is used, how much of the supervision department's cost would be allocated to the building occupancy department? (Start with Building occupancy, then Supervision) а. b. P 1,750 P 3,500 d. P5.250 с.

A summary of the usage of the service department services by other service departments as well as by the two producing departments is as follows: Equipment Building Production Dept. Dept. I Dept. 2 40% Service Cost Center Supervision Maintenance Occupancy Supervision Equipment maint. Building occunpany 10% Direct costs in the various departments are as follows: 10% 5% 45% 45% 55% 10% 35% 45% Department Supervision Equipment maintenance Building occupancy Production Dept. No. 1 Production Dept. No. 2 Direct Cost 35,000 30,000 90,000 350,000 450,000 Label SI S2 S3 P1 P2 20. If the direct method of allocation is used, how much of the supervision department's cost would be allocated to the building occupancy department? (Start with Building occupancy, then Supervision) а. b. P 1,750 P 3,500 d. P5.250 с.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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