Sasha Company allocates the estimated $197,100 of its accounting department costs to its production and sales departments since the accounting department supports the other two departments particularly with regard to payroll and accounts payable functions. The costs will be allocated based on the number of employees using the direct method. Information regarding costs and employees follows: Department Employees Accounting 4 Production 35 Sales 12 How much of the accounting department costs will be allocated to the production?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Sasha Company allocates the estimated $197,100 of its accounting department costs to its
production and sales departments since the accounting department supports the other two
departments particularly with regard to payroll and accounts payable functions. The costs
will be allocated based on the number of employees using the direct method. Information
regarding costs and employees follows:
Department Employees
Accounting 4
Production
35
Sales 12
How much of the accounting department costs will be allocated to the production?
Transcribed Image Text:Sasha Company allocates the estimated $197,100 of its accounting department costs to its production and sales departments since the accounting department supports the other two departments particularly with regard to payroll and accounts payable functions. The costs will be allocated based on the number of employees using the direct method. Information regarding costs and employees follows: Department Employees Accounting 4 Production 35 Sales 12 How much of the accounting department costs will be allocated to the production?
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