Support department cost allocation—direct method Becker Tabletops has two support departments (Janitorial and Cafeteria) and two production departments (Cutting and Assembly). Relevant details for these departments are as follows: Support Department     Cost Driver Janitorial Department   Square footage to be serviced Cafeteria Department   Number of employees     JanitorialDepartment CafeteriaDepartment CuttingDepartment AssemblyDepartment Department costs $300,000        $200,000     $1,480,000      $670,000     Square feet 48        5,200         1,200      2,800     Number of employees 8        2     14      6     Allocate the support department costs to the production departments using the direct method.   CuttingDepartment   AssemblyDepartment Janitorial Department cost allocation $   $ Cafeteria Department cost allocation $   $

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question

Support department cost allocation—direct method

Becker Tabletops has two support departments (Janitorial and Cafeteria) and two production departments (Cutting and Assembly). Relevant details for these departments are as follows:

Support Department     Cost Driver
Janitorial Department   Square footage to be serviced
Cafeteria Department   Number of employees

 

  Janitorial
Department
Cafeteria
Department
Cutting
Department
Assembly
Department
Department costs $300,000        $200,000     $1,480,000      $670,000    
Square feet 48        5,200         1,200      2,800    
Number of employees 8        2     14      6    

Allocate the support department costs to the production departments using the direct method.

  Cutting
Department
  Assembly
Department
Janitorial Department cost allocation $   $
Cafeteria Department cost allocation $   $
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 5 steps with 4 images

Blurred answer
Knowledge Booster
Cost allocation
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education