Department Employees Square Feet Asset Values Materials 40 60,000 $ 9,750 Personnel 8 7,500 Manufacturing Packaging 64 67,500 1,300 33,800 48 15,000 20,150 Total 160 150,000 $ 65,000 e four departments share the following indirect expenses for sup Indirect Expense Supervision Utilities Insurance Total Cost Allocation Base $ 83,000 Number of employees 55,000 Square feet occupied 25,000 Asset values $ 163,000

Department Employees Square Feet Asset Values Materials 40 60,000 $ 9,750 Personnel 8 7,500 Manufacturing Packaging 64 67,500 1,300 33,800 48 15,000 20,150 Total 160 150,000 $ 65,000 e four departments share the following indirect expenses for sup Indirect Expense Supervision Utilities Insurance Total Cost Allocation Base $ 83,000 Number of employees 55,000 Square feet occupied 25,000 Asset values $ 163,000

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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Allocate the service cost using the following reciprocal method.
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