What amount of office expenses is allocated to Department Y on these general accounting question? Sunset Retail has two departments: Department X and Department Y.Department X had total sales of $90,000, and Department Y had total sales of$60,000. Other office expenses, totalling $3,000, are allocated on the basis oftotal sales. What amount of office expenses is allocated to Department Y?(a) $1,200(b) $1,800(c) $2,000(d) $1,000

Step 1: Define Allocation of ExpensesWhen allocating office expenses based on sales, we calculate…

Answered: Sunset Retail has two departments:…

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter25: Departmental Accounting

Section: Chapter Questions

Problem 1CE

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A company has three production departments and two service departments, and for a period the departmental distribution summary has the following totals : $ Production Departments : P1-$800 ; P2–$700 and P3-$500 Service Departments :S1–$234 and S2–$300 2,000 534 2,543 The expenses of the service departments are charged out on a percentage basis as follows: P1 P2 P3 s1 S2 Service Department S1 20% 40% 30% 10% Service Department S2 40% 20% 20% 20% Prepare a statement showing the apportionment of two service departments expenses to Production Departments by Simultaneous Equation Method.
A company has two departments, Y and Z that incur advertising expenses of $10,200. Advertising expenses are allocated based on sales. Department Y has sales of $488,000 and Department Z has sales of $732,000. The advertising expense allocated to Departments Y and Z, respectively, are:
Department T based on departmental sales.
A company has two departments, Y and Z that incur advertising expenses of $19,000. Advertising expenses are allocated based on sales. Department Y has sales of $300,000 and Department Z has sales of $700,000. The advertising expense allocated to Departments Y and Z, respectively, are: Multiple Choice O O O $5,700; $13,300. $13,300; $5,700. $8,200; $10,800.
he following are some accounts pertaining to the rooms division of XYZ Inn. Salaries and wages $10,000 Operating supplies $5,000 Sales $200,000 Laundry $9,000 Commissions $2,000 Dry cleaning $500 Uniforms $200 Fringe benefits and payroll taxes 10% of salaries and wages Other expenses 3% of sales Using the information provided above, what would the total rooms revenue be equal to on the rooms department schedule for XYZ Inn?
A retail store has three departments, S, T, and U, and pays for general advertising that benefits all departments. Advertising expense totaled $41,000 for the year, and departmental sales were as follows. Allocate advertising expense to Department T based on departmental sales. (Do not round your intermediate calculations.) Department Sales $ $ 137,000 T215,050 U 160, 450 Total $ 512,500
Macee Store has three operating departments, and it conducts advertising that benefits all departments. Advertising costs are $108,000. Sales for its operating departments follow. Department 2 Sales $ 272,500 523, 200 294,300 How much advertising cost is allocated to each operating department If the allocation is based on departmental sales? (Do not round your intermediate calculations.) Department Sales Percent of Total 1 2 3 Total % % % % Cost Allocated
Macee Store has three operating departments, and it conducts advertising that benefits all departments. Advertising costs are $132,000. Sales for its operating departments follow. Department 1 2 3 Sales $ 245,000 450,800 284,200 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 Sales Percent of Total Cost Allocated 1 $ 245,000 25.00 % $ 2 450,800 46.00 % 3 284,200 29.00 % Total $ 980,000 100.00 %
[The following information applies to the questions displayed below.] Suresh Company reports the following segment (department) income results for the year. Department M $ 87,000 Department P $ 69,000 Department T $ 42,000 Total Department N Department 0 $ 47,000 $ 83,000 $ 328,000 Sales Expenses Avoidable 18,800 59,000 77,800 $ 9,200 47,200 23,400 70,600 $ (23,600) 18,500 6,000 24,500 $ 58,500 23,000 58,500 81,500 $ (12,500) 54,000 22,400 76,400 $ (34,400) 161,500 169,300 330,800 $ (2,800) Unavoidable Total expenses Income (loss) Exercise 23-9 (Algo) Part 1 a. If the company plans to eliminate departments that have sales less than avoidable costs, which department(s) would be eliminated? Department Decision Department M Department N Department O Department P Department T
1. Using the data below for Ace Guitar Company: Region A Region B Sales $571,500 $698,500 Cost of goods sold 217,200 265,400 Selling expenses 137,200 167,600 Service department expenses Purchasing $213,400 Payroll accounting 142,200 Allocate service department expenses proportionally to the sales of each region, determine the divisional income from operations for the Regions A and B. For interim calculations, round the percentages to one decimal place. Region A $ Region B $
Sub. General accounting
Garcia Company has two operating departments (Phone and Earbuds) and one service department (Office). Its departmental income statements follow. Indirect expenses and service department expenses consist of rent, utilities, and office department expenses. GARCIA COMPANY Departmental Income Statements For Year Ended December 31 Phone $ 140,000 68,600 71,400 Sales Cost of goods sold Gross profit Expenses Sales salaries Supplies used Depreciation Equipment Rent Utilities Share of office department expenses Total expenses Income 22,000 650 2,000 7,050 2,600 12,000 46,300 $ 25,100 Required: Prepare a departmental contribution to overhead report. Earbuds $ 95,000 58,900 36,100 7,400 350 900 3,780 2,300 5,000 19,730 $ 16,370 Combined $ 235,000 127,500 107,508 29,408 1,000 2,900 10,830 4,900 17,000 66,038 $ 41,470

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