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Amiens Company manufactures both dry and semimoist dog food, with each type of dog food produced in separate departments. Three service departments support the production departments and the data concerning the five departments are as follows: Service Department Production Department Personnel Maintenance General Factory Dry Semimoist Overhead costs $60,000 $40,000 $160,000 $120,000 $150,000 Sq. ft. occupied 3,000 2000 6,750 8,250 Machine hours 4,000 6,000 36,000 54,000 # of employees 14 16 21 35 The personnel costs are allocated on the basis of employees; the maintenance costs on the basis of machine hours; the general factory costs on the basis of space occupied (sq. ft.). The order of allocation is determined based on the dollar amount of service costs rendered to each other. All numbers are rounded to four (4) decimalplaces if necessary. What costs will remain in Dry Department after allocating all service costs by the step method? O $203,052 O $108,320 O $228,320 O $230,500

Amiens Company manufactures both dry and semimoist dog food, with each type of dog food produced in separate departments. Three service departments support the production departments and the data concerning the five departments are as follows: Service Department Production Department Personnel Maintenance General Factory Dry Semimoist Overhead costs $60,000 $40,000 $160,000 $120,000 $150,000 Sq. ft. occupied 3,000 2000 6,750 8,250 Machine hours 4,000 6,000 36,000 54,000 # of employees 14 16 21 35 The personnel costs are allocated on the basis of employees; the maintenance costs on the basis of machine hours; the general factory costs on the basis of space occupied (sq. ft.). The order of allocation is determined based on the dollar amount of service costs rendered to each other. All numbers are rounded to four (4) decimalplaces if necessary. What costs will remain in Dry Department after allocating all service costs by the step method? O $203,052 O $108,320 O $228,320 O $230,500

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Amiens Company manufactures both dry and semimoist dog food, with each type of dog food produced in separate departments. Three service departments support the production departments and the data concerning the five departments are as follows: Service Department Production Department Personnel Maintenance General Factory Dry Semimoist Overhead costs $60,000 $40,000 $160,000 $120,000 $150,000 Sq. ft. occupied 3,000 2000 6,750 8,250 Machine hours 4,000 6,000 36,000 54,000 # of employees 14 16 21 35 The personnel costs are allocated on the basis of employees; the maintenance costs on the basis of machine hours; the general factory costs on the basis of space occupied (sq. ft.). The order of allocation is determined based on the dollar amount of service costs rendered to each other. All numbers are rounded to four (4) decimalplaces if necessary. What costs will remain in Dry Department after allocating all service costs by the step method? O $203,052 O $108,32o O $228,320 O $230,500
Transcribed Image Text:Amiens Company manufactures both dry and semimoist dog food, with each type of dog food produced in separate departments. Three service departments support the production departments and the data concerning the five departments are as follows: Service Department Production Department Personnel Maintenance General Factory Dry Semimoist Overhead costs $60,000 $40,000 $160,000 $120,000 $150,000 Sq. ft. occupied 3,000 2000 6,750 8,250 Machine hours 4,000 6,000 36,000 54,000 # of employees 14 16 21 35 The personnel costs are allocated on the basis of employees; the maintenance costs on the basis of machine hours; the general factory costs on the basis of space occupied (sq. ft.). The order of allocation is determined based on the dollar amount of service costs rendered to each other. All numbers are rounded to four (4) decimalplaces if necessary. What costs will remain in Dry Department after allocating all service costs by the step method? O $203,052 O $108,32o O $228,320 O $230,500
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