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Departmental information for the four departments at Samoa Industries is provided below.
Total Cost Cost Driver Square Feet
Number of Employees
Janitorial $150,000
Square footage serviced 200 40
Cafeteria 50,000
Number of employees 20,000 12
Cutting 1,125,000 4,000 120
Assembly 1,100,000 16,000 40
Question 1: The Janitorial and Cafeteria departments are support departments. Determine the dollar amount of the Janitorial Department costs to be allocated to the (a) Cutting and (b) Assembly departments using the direct method.
a. Cutting Department
b. Assembly Department
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