Chilton Day School allocates marketing and administrative costs to its three schools on the basis of each school's annual tuition revenue (as a percentage of the total). Last year the allocations (000s omitted) were as follows: Tuition revenue Marketing and administration Preschool $1,630 340 Cost allocation Preschool Middle School $1,930 390 In the current year, the middle and high schools experienced no change in revenues, but the preschool's tuition revenue increased to $2.03 million. Marketing and administrative costs rose to $1,380,000. High School $ 2,330 465 Required: 1. Using revenue as an allocation base, how much current year cost will be allocated to the: (Do not round intermediate calculations. Round your final answers to the nearest whole dollar amounts. Similar to the given information, omit 000s from your answer.) High School Middle School Total $ 5,890 1,195 $ Total 0

Chilton Day School allocates marketing and administrative costs to its three schools on the basis of each school's annual tuition revenue (as a percentage of the total). Last year the allocations (000s omitted) were as follows: Tuition revenue Marketing and administration Preschool $1,630 340 Cost allocation Preschool Middle School $1,930 390 In the current year, the middle and high schools experienced no change in revenues, but the preschool's tuition revenue increased to $2.03 million. Marketing and administrative costs rose to $1,380,000. High School $ 2,330 465 Required: 1. Using revenue as an allocation base, how much current year cost will be allocated to the: (Do not round intermediate calculations. Round your final answers to the nearest whole dollar amounts. Similar to the given information, omit 000s from your answer.) High School Middle School Total $ 5,890 1,195 $ Total 0

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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Chilton Day School allocates marketing and administrative costs to its three schools on the basis of each school's annual tuition revenue (as a percentage of the total). Last year the allocations (000s omitted) were as follows: Tuition revenue Marketing and administration Preschool $ 1,690 370 Cost allocation Preschool Middle School $ 1,990 420 In the current year, the middle and high schools experienced no change in revenues, but the preschool's tuition revenue increased to $2.09 million. Marketing and administrative costs rose to $1,440,000. High School $ 2,390 495 Required: 1. Using revenue as an allocation base, how much current year cost will be allocated to the: (Do not round intermediate calculations. Round your final answers to the nearest whole dollar amounts. Similar to the given information, omit 000s from your answer.) Middle School Total $ 6,070 1,285 High School $ Total 0
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