The estimated departmental manufacturing for producing department. A and Band the estimated costa of service departments C, D, and E (before any service department allocations) are: Producing Department Service Department P120,000 180,000 P40,000 40,000 20,000 D. E The interdependence of the departments is as follows: Services Provided by Department D E Producing A Producing B Service C Service D Service E Marketing General office 30% 40% 50% 40 30 20 20 30 10 20 10 100% 100% 100% Compute the final amount of estimated overhead of Service E after reciprocal transfer costs have been calculated algebraically. After computing the total factory overhead of each producing department and what amount of Department E cost is assigned to Marketing Department?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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The estimated departmental manufacturing for producing department
A and B and the estimated costs of service departments C, D, and E (before
any service department allocations) are:
Producing Department
Service Department
A
B
P120,000
180,000
P40,000
40,000
20,000
D
E
The interdependence of the departments is as follows:
Services Provided by
Department
Producing A
Producing B
Service C
Service D
Service E
Marketing
General office
D
E
30%
40%
50%
40
30
20
20
10
20
10
100%
100%
100%
Compute the final amount of estimated overhead of Service E after reciprocal transfer costs
have been calculated algebraically.
After computing the total factory overhead of each producing department and what amount of
DepartmentE cost is assigned to Marketing Department?
Transcribed Image Text:The estimated departmental manufacturing for producing department A and B and the estimated costs of service departments C, D, and E (before any service department allocations) are: Producing Department Service Department A B P120,000 180,000 P40,000 40,000 20,000 D E The interdependence of the departments is as follows: Services Provided by Department Producing A Producing B Service C Service D Service E Marketing General office D E 30% 40% 50% 40 30 20 20 10 20 10 100% 100% 100% Compute the final amount of estimated overhead of Service E after reciprocal transfer costs have been calculated algebraically. After computing the total factory overhead of each producing department and what amount of DepartmentE cost is assigned to Marketing Department?
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