Required informationUse the following information for the Exercises below.Hudson Community College enrolls students in two departments, Liberal Arts andSciences. The college also has two service departments, the Library and theComputing Services Department. The usage of these two service departments'output for the year is as follows:User of ServiceLibraryComputing ServicesLiberal ArtsSciencesProvider of ServiceComputingLibraryServices020%0060%30%40%50%The budgeted costs in the two service departments for the year are as follows:LibraryComputing Services$ 710,000270,000EX 17-16 (Algo) Step-Down Method of Service Department Cost Allocation;College (LO 17-1)Required:1. Use the step-down method to allocate Hudson Community College's service department costs tothe Liberal Arts and Sciences departments.Note: Do not round intermediate calculations.Liberal ArtsSciencesAllocation of Computing Service costs$426,000 $108,000Allocation of Library costs458,400305,600Total costs allocated to each department$884,400 $413,600

Detailed explanation: Liberal Arts SciencesAllocation of Computing Service Costs 270,000 x 30% =…

Answered: Required information Use the following…

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter11: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 11.3E

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! Required information Use the following information for the Exercises below. Hudson Community College enrolls students in two departments, Liberal Arts and Sciences. The college also has two service departments, the Library and the Computing Services Department. The usage of these two service departments' output for the year is as follows: Provider of Service User of Service Library Computing Services Liberal Arts Sciences Library 0 0 60% 40% Computing Services 20% Ө 30% 50% The budgeted costs in the two service departments for the year are as follows: Library Computing Services $ 1,030,000 490,000 EX 17-16 (Algo) Step-Down Method of Service Department Cost Allocation; College (LO 17-1) Required: 1. Use the step-down method to allocate Hudson Community College's service department costs to the Liberal Arts and Sciences departments. Note: Do not round intermediate calculations. Answer is complete but not entirely correct. Allocation of Computing Service costs Allocation of Library…
Identify Activity Bases For a major university, select the activity base most appropriate for each cost listed below. An activity base may be used more than once or not used at all. Cost: Activity Base: 1. Financial aid office salaries 2. Office supplies 3. Instructor salaries 4. Housing personnel wages 5. Employee wages for maintaining student records 6. Admissions office salaries
Burgess Business School has two degree programs, BBA and MBA. The school uses an ABC system to cost the three support services it provides to students from both programs: Career Center, Events, and Library. Following are the costs of these three activities and the cost drivers used in the system: Activity Cost Activity Career Center Event planning and hosting. Library For the most recent year, data collected from the central IT systems indicate the following: MBA 5,600 4,500 30,300 BBA 10,400 5,500 70,700 $ 448,000 440,000 606,000 Cost Driver Interview-hours Event attendance Number of visits Interview-hours Event attendance Library visits Required: a. Compute the cost-driver rates for the three activities at the school. b. Suppose that in a future period, no students from the MBA program visited the Library. What amount of the Library cost would be assigned to the MBA program?
Chapter 2 (Continued): Basic Cost Management Concepts College offers students a number of different majors and disciplines. These majors and disciplines have department chairpersons who are responsible for the department budget preparation. Please define direct costs and indirect costs and then prepare a list of three direct and three indirect costs for the Accounting Department at College. Hint: See Exercise 10 in Chapter 2 of your eText.
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Direct Method Seattle Western University has provided the following data to be used in its service department cost allocations: Required: Using the direct method, allocate the costs of the service departments to the two operating departments. Allocate the Administration cost on the basis of student credit-hours and the Facility Services cost on the basis of space occupied.
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Lackawanna Community College has three divisions: Liberal Arts, Sciences, and Business Administration. The college’s comptroller is trying to decide how to allocate the costs of the Admissions Department, the Registrar’s Department, and the Computer Services Department. The comptroller hascompiled the following data for the year just ended. Department Annual CostAdmissions ................................................................................................... $ 90,000Registrar ............................................................................................................ 150,000Computer Services ......................................................................................... 320,000 Division Budgeted Budgeted Planned Courses Enrollment Credit Hours Requiring Computer WorkLiberal Arts .............…
Question 8 Identify Activity Bases For a major university, select the activity base most appropriate for each cost listed below. An activity base may be used more than once or not used at all. Cost: Activity Base: 1. Instructor salaries 2. Admissions office salaries 3. Student records office salaries 4. Financial aid office salaries 5. Housing personnel wages 6. Office supplies
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Hudson Community College enrolls students in two departments, Liberal Arts and Sciences. The college also has two service departments, the Library and the Computing Services Department. The usage of these two service departments' output for the year is as follows: User of Service Library Computing Services Liberal Arts Sciences Provider of Service Computing Services 20% Library Computing Services Library 65% 35% The budgeted costs in the two service departments for the year are as follows: $1,090,000 550,000 30% 50% Required: 1. Use the step-down method to allocate Hudson Community College's service department costs to the Liberal Arts and Sciences departments. (Do not round intermediate calculations.) Allocation of Computing Service costs Allocation of Library costs Total costs allocated to each department Liberal Arts Sciences

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