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Question - City Shoe's insurance expense for the year totaled $8,600 and is to be allocated on the basis of the book value of inventory and equipment in each department.
Using the financial data given below:
Book value of inventory and equipment:
1. Women's Shoes$79,800
2. Men's Shoes 69,300
3. Children's Shoes 60,900
Compute the amount of insurance expense allocated to the women's shoes, men's shoes, and children's shoes department.
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