Using the sequential method, Pone Hill Company allocates Janitorial Department costs based on square footage serviced. It allocates Cafeteria Department costs based on the number of employees served. It has determined to allocate Janitorial costs before Cafeteria costs. It has the following information about its two service departments and two production departments, Cutting and Assembly: Number of Employees 20 10 60 20 Janitorial Department Cafeteria Department Cutting Department Assembly Department Costs $450,000 200,000 1,500,000 3,000,000 Square Feet 100 10,000 2,000 8,000 The percentage (proportional) usage of the Janitorial Department by the Cutting Department is Oa. 20% Ob. 9.9% Oc. 80% Od. 10%

Using the sequential method, Pone Hill Company allocates Janitorial Department costs based on square footage serviced. It allocates Cafeteria Department costs based on the number of employees served. It has determined to allocate Janitorial costs before Cafeteria costs. It has the following information about its two service departments and two production departments, Cutting and Assembly: Number of Employees 20 10 60 20 Janitorial Department Cafeteria Department Cutting Department Assembly Department Costs $450,000 200,000 1,500,000 3,000,000 Square Feet 100 10,000 2,000 8,000 The percentage (proportional) usage of the Janitorial Department by the Cutting Department is Oa. 20% Ob. 9.9% Oc. 80% Od. 10%

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter4: Activity-based Costing

Section: Chapter Questions

Problem 4BE: Activity-based costing: selling and administrative expenses Jungle Junior Company manufactures and...

See similar textbooks

Similar questions

Using the sequential method, Pone Hill Company allocates Janitorial Department costs based on square footage serviced. It allocates Cafeteria Department costs based on the number of employees served. It has determined to allocate Janitorial costs before Cafeteria costs. It has the following information about its two service departments and two production departments, Cutting and Assembly: Costs Square Feet Number ofEmployees Janitorial Department $450,000   100       20        Cafeteria Department 200,000   10,000       10        Cutting Department 1,500,000   2,000       60        Assembly Department 3,000,000   8,000       20        How much of the Janitorial Department's $450,000 costs is allocated to the Cutting Department? a. $45,000 b. $360,000 c. $90,000 d. $44,550
Using the sequential method, Pone Hill Company allocates Janitorial Department costs based on square footage serviced. It allocates Cafeteria Department costs based on the number of employees served. It has determined to allocate Janitorial costs before Cafeteria costs. It has the following information about its two service departments and two production departments, Cutting and Assembly: Line Item Description Costs Square Feet Number ofEmployees Janitorial Department $450,000   100       20        Cafeteria Department 200,000   10,000       10        Cutting Department 1,500,000   2,000       60        Assembly Department 3,000,000   8,000       20        How much of the Janitorial Department’s $450,000 costs is allocated to the Cutting Department? a. $45,000 b. $44,550 c. $360,000 d. $90,000
Using the sequential method, Pone Hill Company allocates Janitorial Department costs based on square footage serviced. It allocates Cafeteria Department costs based on the number of employees served. It has determined to allocate Janitorial costs before Cafeteria costs. It has the following information about its two service departments and two production departments, Cutting and Assembly: Line Item Description Costs Square Feet Number ofEmployees Janitorial Department $450,000   100       20        Cafeteria Department 200,000   10,000       10        Cutting Department 1,500,000   2,000       60        Assembly Department 3,000,000   8,000       20        The percentage (proportional) usage of the Janitorial Department by the Cutting Department is a. 80% b. 9% c. 10% d. 20%
Using the sequential method, Pone Hill Company allocates Janitorial Department costs based on square footage serviced. It allocates Cafeteria Department costs based on the number of employees served. It has determined to allocate Janitorial costs before Cafeteria costs. It has the following information about its two service departments and two production departments, Cutting and Assembly: Line Item Description Costs Square Feet Number ofEmployees Janitorial Department $450,000 100 20 Cafeteria Department 200,000 10,000 10 Cutting Department 1,500,000 2,000 60 Assembly Department 3,000,000 8,000 20 The percentage (proportional) usage of the Cafeteria Department by the Assembly Department is a. 22% b. 18% c. 75% d. 25%
Using the direct method, Pone Hill Company allocates Janitorial Department costs based on square footage serviced. It allocates Cafeteria Department costs based on the number of employees served. It has the following information about its two service departments and two production departments, Cutting and Assembly: Square Feet Number ofEmployees Janitorial Department 100 20 Cafeteria Department 10,000 10 Cutting Department 2,000 60 Assembly Department 8,000 20 If the Janitorial Department incurs costs of $200,000, how much of that cost is allocated to the Cutting Department?
Using the direct method, Pone Hill Company allocates Janitorial Department costs based on square footage serviced. It allocates Cafeteria Department costs based on the number of employees served. It has the following information about its two service departments and two production departments, Cutting and Assembly: Square Feet Number ofEmployees Janitorial Department 100 20 Cafeteria Department 10,000 10 Cutting Department 2,000 60 Assembly Department 8,000 20 If the Janitorial Department incurs costs of $200,000, how much of that cost is allocated to the Cutting Department? a. $160,000 b. $40,000 c. $19,800 d. $20,000
Using the direct method, Pone Hill Company allocates Janitorial Department costs based on square footage serviced. It allocates Cafeteria Department costs based on the number of employees served. It has the following information about its two service departments and two production departments, Cutting and Assembly: Janitorial Department Cafeteria Department Cutting Department Assembly Department Square Feet a. 80% b. 20% Oc. 10% Od. 9.9% Number of Employees 20 10 60 20 100 10,000 2,000 8,000 The percentage (proportional) usage of the Janitorial Department by the Cutting Department is
Using the direct method, Pone Hill Company allocates Janitorial Department costs based on square footage serviced. It allocates Cafeteria Department costs based on the number of employees served. It has the following information about its two service departments and two production departments, Cutting and Assembly: Line Item Description Square Feet Number ofEmployees Janitorial Department 100 20 Cafeteria Department 10,000 10 Cutting Department 2,000 60 Assembly Department 8,000 20 The percentage (proportional) usage of the Cafeteria Department by the Assembly Department is a. 75% b. 18% c. 25% d. 22%
Using the direct method, Pone Hill Company allocates Janitorial Department costs based on square footage serviced. It allocates Cafeteria Department costs based on the number of employees served. It has the following information about its two service departments and two production departments, Cutting and Assembly: Number of Square Feet Employees Janitorial Department 100 20 Cafeteria Department 10,000 10 Cutting Department 2,000 60 Assembly Department 8,000 20 The percentage (proportional) usage of the Janitorial Department by the Cutting Department is Oa. 10% Ob. 80% Oc. 9.9% Od. 20%
Use the information below to answer the two questions that follow. A company has two service departments and two operating departments. The company allocates service departmental costs to operating departments using the direct method. Operating data for these departments for last year are as follows: Service Departmentd Operating Department Cafeteria Custodial Cutting Molding Departmental costs $144,000 $84,000 $21,200 $52,500 90 Number of employees 35 30 60 Square feet occupied 1,600 800 2,100 1,500 Q. What is the total Molding Department cost after allocation under the direct method? ANS. $ Q. The company is considering to switch to the step-down method. Unther this method, Cafeteria costs are allocated first on the basis of number of employees and Custodial costs are allocated second on the basis of square feet occupied. What is the total Molding Department cost after allocation under the step-down method? ANS. $
Madison Park Co-op, a whole foods grocery and gift shop, provided the following data for its service department cost allocations: Service Departments Administration $ 200,000 Operating Departments Groceries Gifts $ 3,870,000 2,730 490 700 9,200 Departmental costs before allocations Employee-hours Space occupied-square feet Required: Using the step-down method, allocate the costs of the service departments to the two operating departments. Allocate Administration first on the basis of employee-hours and then Janitorial based on space occupied. Departmental costs before allocations Allocations: Janitorial $ 60,000 Administration costs Janitorial costs Total costs after allocations Note: Please enter allocations from a department as negative and allocations to a department as positive. The line should add across to zero. Do not round intermediate calculations. Round your answers to the nearest whole dollar amount. Service Departments Administration Janitorial 320 1,200 Operating…
Madison Park Co-op, a whole foods grocery and gift shop, has provided the following data to be used in its service department cost allocations: Departmental costs before allocations Employee-hours Space occupied-square feet Required: Service Departments Administration Janitorial $ 190,000 $ 70,000 490 800 340 1,200 2,710 Operating Departments Groceries Gifts $ 3,840,000 $ 330,000 150 9,400 600 Using the step-down method, allocate the costs of the service departments to the two operating departments. Allocate Administration first on the basis of employee-hours and then Janitorial on the basis of space occupied. (Please enter allocations from a department as negative and allocations to a department as positive. The line should add across to zero. Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.) Service Departments Administration Janitorial 190,000 $ Operating Departments Groceries Total Gifts 70,000 $3,840,000 $ 330,000 $ 4,430,000…