The production departments at Westfield Manufacturing occupy a total area of 400,000 square feet. Electricity costs total $720,000 and are allocated based on the area that each department occupies. The assembly department occupies 60,000 square feet and the quality control department occupies 25,000 square feet. What amount of electricity cost will be allocated to the assembly and quality control departments, respectively?
The production departments at Westfield Manufacturing occupy a total area of 400,000 square feet. Electricity costs total $720,000 and are allocated based on the area that each department occupies. The assembly department occupies 60,000 square feet and the quality control department occupies 25,000 square feet. What amount of electricity cost will be allocated to the assembly and quality control departments, respectively?
Principles of Cost Accounting
17th Edition
ISBN:9781305087408
Author:Edward J. Vanderbeck, Maria R. Mitchell
Publisher:Edward J. Vanderbeck, Maria R. Mitchell
Chapter4: Accounting For Factory Overhead
Section: Chapter Questions
Problem 9E: A manufacturing company has two service and two production departments. Human Resources and Machine...
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Transcribed Image Text:The
production departments at Westfield
Manufacturing occupy a total area of 400,000 square
feet. Electricity costs total $720,000 and are allocated
based on the area that each department occupies. The
assembly department occupies 60,000 square feet and
the quality control department occupies 25,000 square
feet. What amount of electricity cost will be allocated to
the assembly and quality control departments,
respectively?
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