Beta Supermarket has three departments: A, B, and C, and conducts general advertisingthat benefits all departments. The total advertising expense for the year was $55,000, andthe departmental sales were as follows:. Department A: $132,500Department B: $187,250.Department C: $155,000Total Sales: $474,750Allocate the advertising expense to Department B based on departmental sales.

Step 1: Definition of Allocation of Advertising ExpenseExplanation: The allocation of advertising…

Answered: Beta Supermarket has three departments:…

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter10: Cost Analysis For Management Decision Making

Section: Chapter Questions

Problem 18E

See similar textbooks

Similar questions

retailer has three departments—Housewares, Appliances, and Clothing—and buys advertising that benefits all departments. Advertising expense is $150,000 for the year, and departmental sales for the year follow: Housewares, $356,250; Appliances, $641,250; and Clothing, $427,500. How much advertising expense is allocated to Appliances if allocation is based on departmental sales? a. $37,500 c. $45,000 e. $641,250 b. $67,500 d. $150,000
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.
Macee Department Store has three departments, and it conducts advertising campaigns that benefit all departments. Advertising costs are $100,000 this year, and departmental sales for this year follow. How much advertising cost is allocated to each department if the allocation is based on departmental sales? Department Sales 1 . $220,000 2 . 400,000 3 . 180,000
Macee Store has three operating departments, and it conducts advertising that benefits all departments. Advertising costs are $132,000. Sales for its operating departments follow. Department 1 2 3 Sales $ 245,000 450,800 284,200 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. Department Sales Percent of Total Cost Allocated 1 $ 245,000 25.00 % $ 2 450,800 46.00 % 3 284,200 29.00 % Total $ 980,000 100.00 %
T, and U, and pays for general advertising that benefits all departments. Advertising expense totaled $82,000 for the year, and departmental sales were as follows. Allocate advertising expense to Department T based on departmental sales. (Do not round your intermediate calculations. Round the answer to the nearest whole dollar, i.e. 17,525.69 would be 17,526): Sales per department Department Sales S $ 106,000 T 215,250 U 149,150 Total $ 470,400
Macee Department Store has three departments, and it conducts advertising campaigns that benefit all departments. Advertising costs are $126,000 this year, and departmental sales for this year follow. Department Sales $225,000 1 2 3 How much advertising cost is allocated to each department if the allocation is based on departmental sales? 450,000 225,000 Department Sales 1 2 3 Total % of Total Advertising to Allocate Allocated Amount
A company has two departments, Y and Z that incur advertising expenses of $19,000. Advertising expenses are allocated based on sales. Department Y has sales of $300,000 and Department Z has sales of $700,000. The advertising expense allocated to Departments Y and Z, respectively, are: Multiple Choice O O O $5,700; $13,300. $13,300; $5,700. $8,200; $10,800.
Wadsworth Distribution Company has total advertising expenses of $84,000: $32,000 for radio and $52,000 for print advertising. The expense for print advertising is allocated to Department A and Department B based on the total of net sales represented by each department. The total net sales for Wadsworth Distribution Company is $744,000. The net sales generated are $558,000 and $186,000 for Department A and B, respectively. How much of the expense for print advertising should be allocated to Department A?
A company has two departments, Y and Z that incur advertising expenses of $10,200. Advertising expenses are allocated based on sales. Department Y has sales of $488,000 and Department Z has sales of $732,000. The advertising expense allocated to Departments Y and Z, respectively, are:
A company uses charging rates to allocate service department costs to the using departments. The accountant compiled the following information on one of the service departments: If Department K plans to use 1,350 hours of the service departments service in the coming year, how much of the service departments cost is allocated to Department K? a. 3,375 b. 27,300 c. 26,325 d. 23,950
What is the amount of purchasing costs ?
[The following information applies to the questions displayed below.] National Retail has two departments, Housewares and Sporting. Indirect expenses for the period follow. Rent $ 45,000 Advertising 25,000 Insurance 10,000 Total $ 80,000 The company occupies 4,000 square feet of a rented building. In prior periods, the company divided the $80,000 of indirect expenses by 4,000 square feet to find an average cost of $20 per square foot, and then allocated indirect expenses to each department based on the square feet it occupied. The company now wants to allocate indirect expenses using the allocation bases shown below. Department Square Feet Sales Value of Insured Assets Housewares 1,840 $ 270,000 $ 49,000 Sporting 2,160 230,000 Total 4,000 $ 500,000 $100,000 2. Allocate indirect expenses to the two departments. Rent expense is allocated based on square feet occupied. Advertising expense is allocated based on total sales. Insurance expense is allocated based on the value of insured…

SEE MORE QUESTIONS

Recommended textbooks for you

Principles of Cost Accounting

Accounting

ISBN:

9781305087408

Author:

Edward J. Vanderbeck, Maria R. Mitchell

Publisher:

Cengage Learning

Cornerstones of Cost Management (Cornerstones Ser…

Accounting

ISBN:

9781305970663

Author:

Don R. Hansen, Maryanne M. Mowen

Publisher:

Cengage Learning

College Accounting, Chapters 1-27

Accounting

ISBN:

9781337794756

Author:

HEINTZ, James A.

Publisher:

Cengage Learning,

Principles of Cost Accounting

Accounting

ISBN:

9781305087408

Author:

Edward J. Vanderbeck, Maria R. Mitchell

Publisher:

Cengage Learning

Cornerstones of Cost Management (Cornerstones Ser…

Accounting

ISBN:

9781305970663

Author:

Don R. Hansen, Maryanne M. Mowen

Publisher:

Cengage Learning

College Accounting, Chapters 1-27

Accounting

ISBN:

9781337794756

Author:

HEINTZ, James A.

Publisher:

Cengage Learning,

SEE MORE TEXTBOOKS