How calculate the copy department costs allocated to sales

Assignment Help Managerial Accounting
Reference no: EM132639744

The Uli Company's copy department, which does almost all of the photocopying for the sales department and the administrative department, budgets the following costs for the year, based on the expected activity of 4,887,900 copies:

Salaries (fixed)$103,400
Employee benefits (fixed)12,500
Depreciation of copy machines (fixed)9,900
Utilities (fixed)5,300
Paper (variable, 1 cent per copy)48,879
Toner (variable, 1 cent per copy)48,879

The costs are assigned to two cost pools, one for fixed and one for variable costs. The costs are then assigned to the sales department and the administrative department. Fixed costs are assigned on a lump-sum basis, 40 percent to sales and 60 percent to administration. The variable costs are assigned at a rate of 2 cents per copy.

Question 1: Assuming 4,687,900 copies were made during the year, 2,613,100 for sales and 2,074,800 for administration, calculate the copy department costs allocated to sales and administration.

Reference no: EM132639744

Questions Cloud

What is the precise ethical issue in regards to autonomy : What is the precise ethical issue in regards to autonomy, nonmaleficence, beneficence, fidelity, and justice? Identify the major principles, rules, and values.
Calculate the multiplier for economy x : Use the following information on economy X to answer the questions below.Marginal propensity to consume (c) = 0.6
Case study-fetal abnormality : Which theory or theories are being used by Jessica, Marco, Maria, and Dr. Wilson to determine the moral status of the fetus? Explain.
Contrast expansionary and contractionary fiscal policy : Compare and contrast expansionary and contractionary fiscal policy.
How calculate the copy department costs allocated to sales : During the year, 2,613,100 for sales and 2,074,800 for administration, calculate the copy department costs allocated to sales and administration.
What is the amount of his education credit : Joshua is a 25-year-old graduate school student who paid $15,000 in tuition - What is the amount of his education credit for 2019
Profit maximization problem for a perfectly competitive firm : Formulate a profit maximization problem for a perfectly competitive firm that takes nominal wage rate W; rental price of capital R
Business research design and methodology : Business Research Design and Methodology - demonstrating their understanding of the business research paradigm, appropriate methodology and data collection
About marketing procedures in healthcare organizations : You have been learning about marketing procedures in healthcare organizations. what are two marketing vehicles that may be appropriate for it?

Reviews

Write a Review

Managerial Accounting Questions & Answers

  How much is the company total contribution margin

How much is the company's total contribution margin for the quarter? Davis Inc. expects to sell 23,000 units during the next quarter at a selling price of $51

  What various types of dividends that corporations can issue

What are various types of dividends that corporations can issue to stockholders? What are the various dates that are applicable to dividends?

  Tax bases-budget financing-budget deficits

Contrast the 3 major classes of tax bases, also addressing economic bases. Examine various methods of government financing in their budget, and give a synthesis of the strengths and weaknesses of these methods, as well as their long term effects.

  Compute the predetermined overhead rate to apply factory

Compute the predetermined overhead rate to apply factory overhead. Round your answer to the nearest cent. Cavy Company estimates that the factory overhead

  What is the return on assets for the company

What is the return on assets for this company? What is the return on common stockholders' equity for this company? If 2016 is the base year, what is the percentage increase in sales from 2016 to 2017?

  Prepare the journal entry to close the balance

Prepare the journal entry to close the balance in the Factory Overhead account to Cost of Goods Sold.

  Identify the various classifications of financial statement

Reading a financial statement in today's business world is not limited to accounting personnel and identify the various classifications

  Cash conversion cycle-operating cycle

Calculate the firm's cash conversion cycle. Calculate the firm's operating cycle Calculate the daily expenditure and the firm's annual savings if the operating cycle is reduced by 15 days.

  Explain the concept of break-even point

Explain the concept of break-even point and what is it an important tool in business planning- Managerial accounting supports the management process most significantly

  Find should hart company make or buy the part

5,000 units of the same part to Hart for $86.50 per unit. Assuming there is no other use for the facilities, should Hart Company make or buy the part?

  Find direct costs for the football equipment line are the

A manufacturing plant produces two product lines: football equipment and hockey equipment. Direct costs for the football equipment line are the

  Prepare a report to recommend about ABC model

HI5017 Managerial Accounting Assignment, Holmes Institute Australia. You are required to prepare a report to recommend about ABC model for your company

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd