You have the following annual information about Moonlight Bar and Grill, which consists of three different operating segments. Moonlight Bar and Grill Income Statement For the Year Ended December 31, 2020 Dining Bar Area Outdoor Total Room Sales Revenue $206,900 $156,800 Patio $186,000 $549,700 Direct Costs 164,000 Contribution Income $42,900 145,000 $11,800 152,000 461,000 $34,000 88,700 Indirect Costs 63,000 Operating Income $25,700 The owner wants to allocate indirect costs to each area based on square footage, to analyze how each segment of the restaurant is performing. The dining room is 3,300 square feet, the bar area is 1,500 square feet and the outdoor patio is 1,200 square feet. Allocate the indirect costs as indicated. Moonlight Bar and Grill Income Statement For the Year Ended December 31, 2020 Sales Revenue Direct Costs Contribution Income Indirect Costs* Operating Income Dining Room Bar Area Outdoor Patio Total
You have the following annual information about Moonlight Bar and Grill, which consists of three different operating segments. Moonlight Bar and Grill Income Statement For the Year Ended December 31, 2020 Dining Bar Area Outdoor Total Room Sales Revenue $206,900 $156,800 Patio $186,000 $549,700 Direct Costs 164,000 Contribution Income $42,900 145,000 $11,800 152,000 461,000 $34,000 88,700 Indirect Costs 63,000 Operating Income $25,700 The owner wants to allocate indirect costs to each area based on square footage, to analyze how each segment of the restaurant is performing. The dining room is 3,300 square feet, the bar area is 1,500 square feet and the outdoor patio is 1,200 square feet. Allocate the indirect costs as indicated. Moonlight Bar and Grill Income Statement For the Year Ended December 31, 2020 Sales Revenue Direct Costs Contribution Income Indirect Costs* Operating Income Dining Room Bar Area Outdoor Patio Total
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
am. 172.
Transcribed Image Text:You have the following annual information about Moonlight
Bar and Grill, which consists of three different operating
segments.
Moonlight Bar and
Grill Income
Statement
For the Year Ended December
31, 2020
Dining
Bar Area
Outdoor
Total
Room
Sales Revenue
$206,900
$156,800
Patio
$186,000
$549,700
Direct Costs
164,000
Contribution Income
$42,900
145,000
$11,800
152,000 461,000
$34,000
88,700
Indirect Costs
63,000
Operating Income
$25,700
The owner wants to allocate indirect costs to each area
based on square footage, to analyze how each
segment of the restaurant is performing. The dining
room is 3,300 square feet, the bar area is 1,500 square
feet and the outdoor patio is 1,200 square feet.
Allocate the indirect costs as indicated.
Moonlight Bar and
Grill
Income Statement
For the Year Ended December
31, 2020
Sales Revenue
Direct Costs
Contribution Income
Indirect Costs*
Operating Income
Dining
Room
Bar Area
Outdoor
Patio
Total
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