Solution-Allocate support department costs to production

Allocate support department costs to production departments

Assignment Help Managerial Accounting

Reference no: EM132760990

Problem - 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	$310,000	$169,000	$1,504,000	$680,000
Square feet	50	5,000	1,000	4,000
Number of employees	10	3	30	10

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

Reference no: EM132760990

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Allocate support department costs to production departments

Reference no: EM132760990

Reference no: EM132760990

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