Exercise 22-4 Indirect payroll expense allocated to departments LO P2 Jessica Porter works in both the jewelry department and the cosmetics department of a retail store. She assists customers in both departments and arranges and stocks merchandise in both departments. The store allocates her $30,000 annual wages between the two departments based on the time worked in the two departments in each two-week pay period. On average, Jessica reports the following hours and activities spent in the two departments. Activities Hours Selling in jewelry department Arranging and stocking merchandise in jewelry department Selling in cosmetics department Arranging and stocking merchandise in cosmetics department Idle time spent waiting for a customer to enter one of the departments 51.0 6.0 12.0 7.0 4.0 Allocate Jessica's annual wages between the two departments. Department Hours worked Percent of Hours worked Wages Allocation Numerator Denominator % of Hours Jewelry Cosmetics Totals

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Exercise 22-4 Indirect payroll expense allocated to departments LO P2

Jessica Porter works in both the jewelry department and the cosmetics department of a retail store. She assists customers in both departments and arranges and stocks merchandise in both departments. The store allocates her $30,000 annual wages between the two departments based on the time worked in the two departments in each two-week pay period. On average, Jessica reports the following hours and activities spent in the two departments.
 

Activities Hours
Selling in jewelry department 51.0
Arranging and stocking merchandise in jewelry department 6.0
Selling in cosmetics department 12.0
Arranging and stocking merchandise in cosmetics department 7.0
Idle time spent waiting for a customer to enter one of the departments 4.0
 

 
Allocate Jessica’s annual wages between the two departments.

Exercise 22-4 Indirect payroll expense allocated to departments LO P2
Jessica Porter works in both the jewelry department and the cosmetics department of a retail store. She assists customers in both
departments and arranges and stocks merchandise in both departments. The store allocates her $30,000 annual wages between the
two departments based on the time worked in the two departments in each two-week pay period. On average, Jessica reports the
following hours and activities spent in the two departments.
Activities
Hours
Selling in jewelry department
Arranging and stocking merchandise in jewelry department
Selling in cosmetics department
Arranging and stocking merchandise in cosmetics department
Idle time spent waiting for a customer to enter one of the departments
51.0
6.0
12.0
7.0
4.0
Allocate Jessica's annual wages between the two departments.
Department
Hours worked
Percent of Hours worked
Wages
Allocation
Numerator
Denominator
% of Hours
Jewelry
Cosmetics
Totals
Transcribed Image Text:Exercise 22-4 Indirect payroll expense allocated to departments LO P2 Jessica Porter works in both the jewelry department and the cosmetics department of a retail store. She assists customers in both departments and arranges and stocks merchandise in both departments. The store allocates her $30,000 annual wages between the two departments based on the time worked in the two departments in each two-week pay period. On average, Jessica reports the following hours and activities spent in the two departments. Activities Hours Selling in jewelry department Arranging and stocking merchandise in jewelry department Selling in cosmetics department Arranging and stocking merchandise in cosmetics department Idle time spent waiting for a customer to enter one of the departments 51.0 6.0 12.0 7.0 4.0 Allocate Jessica's annual wages between the two departments. Department Hours worked Percent of Hours worked Wages Allocation Numerator Denominator % of Hours Jewelry Cosmetics Totals
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