Cisco Industries is preparing a departmental expense allocation spreadsheet. The table below shows the total direct and indirect expenses for four departments. The Purchasing department expenses are allocated to the operating departments based on purchase orders, while the Maintenance department expenses are allocated based on square footage. Compute the amount of Maintenance department expense to be allocated to Assembly. (Do not round intermediate calculations.) Department Operating Costs Purchasing Maintenance Fabrication Assembly $50,000 $28,400 $120,000 $82,000 8 No. of Purchase 16 Orders Sq. Ft. of Space 4,500 2,500

Cisco Industries is preparing a departmental expense allocation spreadsheet. The table below shows the total direct and indirect expenses for four departments. The Purchasing department expenses are allocated to the operating departments based on purchase orders, while the Maintenance department expenses are allocated based on square footage. Compute the amount of Maintenance department expense to be allocated to Assembly. (Do not round intermediate calculations.) Department Operating Costs Purchasing Maintenance Fabrication Assembly $50,000 $28,400 $120,000 $82,000 8 No. of Purchase 16 Orders Sq. Ft. of Space 4,500 2,500

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter7: Allocating Costs Of Support Departments And Joint Products

Section: Chapter Questions

Problem 30E: A company uses charging rates to allocate service department costs to the using departments. The...

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Compute the amount of maintenance department expense
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Compute the amount of. Maintenance department
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