QS 22-6 (Algo) Allocating costs to departments LO P2 Macee Store has three operating departments, and it conducts advertising that benefits all departments. Advertising costs are $120,000. Sales for its operating departments follow. Department 1 2 3 Sales $ 267,000 445,000 178,000 How much advertising cost is allocated to each operating department if the allocation is based on departmental sales? Note: Do not round your intermediate calculations. Department 1 Sales Percent of Total Cost Allocated % 2 % 3 % Total %
QS 22-6 (Algo) Allocating costs to departments LO P2 Macee Store has three operating departments, and it conducts advertising that benefits all departments. Advertising costs are $120,000. Sales for its operating departments follow. Department 1 2 3 Sales $ 267,000 445,000 178,000 How much advertising cost is allocated to each operating department if the allocation is based on departmental sales? Note: Do not round your intermediate calculations. Department 1 Sales Percent of Total Cost Allocated % 2 % 3 % Total %
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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