Madison Park Co-op, a whole foods grocery and gift shop, provided the following data for its service department cost allocations:Service DepartmentsAdministration$ 200,000Operating DepartmentsGroceriesGifts$ 3,870,0002,7304907009,200Departmental costs before allocationsEmployee-hoursSpace occupied-square feetRequired:Using the step-down method, allocate the costs of the service departments to the two operating departments. Allocate Administrationfirst on the basis of employee-hours and then Janitorial based on space occupied.Departmental costs before allocationsAllocations:Janitorial$ 60,000Administration costsJanitorial costsTotal costs after allocationsNote: Please enter allocations from a department as negative and allocations to a department as positive. The line should addacross to zero. Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.Service DepartmentsAdministration Janitorial3201,200Operating DepartmentsGroceriesGifts$ 330,000150800$ 200,000 $ 60,000 $ 3,870,000 $Total330,000 $ 4,460,000

Cost allocation is the process of identifying, summing up, and assigning the costs incurred by the…

Madison Park Co-op, a whole foods grocery and gift shop, provided the following data for its service department cost allocations: Service Departments Administration Janitorial $ 200,000 $ 60,000 Operating Departments Groceries Gifts $ 3,870,000 $ 330,000 320 1,200 Departmental costs before allocations Employee-hours Space occupied-square feet Required: Using the step-down method, allocate the costs of the service departments to the two operating departments. Allocate Administration first on the basis of employee-hours and then Janitorial based on space occupied. Note: Please enter allocations from a department as negative and allocations to a department as positive. The line should add across to zero. Do not round intermediate calculations. Round your answers to the nearest whole dollar amount. 490 700 2,730 9,200 150 800

Madison Park Co-op, a whole foods grocery and gift shop, provided the following data for its service department cost allocations: Service Departments Administration Janitorial $ 200,000 $ 60,000 Operating Departments Groceries Gifts $ 3,870,000 $ 330,000 320 1,200 Departmental costs before allocations Employee-hours Space occupied-square feet Required: Using the step-down method, allocate the costs of the service departments to the two operating departments. Allocate Administration first on the basis of employee-hours and then Janitorial based on space occupied. Note: Please enter allocations from a department as negative and allocations to a department as positive. The line should add across to zero. Do not round intermediate calculations. Round your answers to the nearest whole dollar amount. 490 700 2,730 9,200 150 800

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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