Ready company has two operating departments

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Reference no: EM131023092

Ready Company has two operating (production) departments: Assembly and Painting. Assembly has 198 employees and occupies 48,000 square feet; Painting has 140 employees and occupies 38,400 square feet. Indirect factory expenses for the current period are as follows:

Administration	$86,400
Maintenance	$108,000

Administration is allocated based on workers in each department; maintenance is allocated based on square footage. The total amount of administration expense that should be allocated to the Assembly Department for the current period is:

Answers:

$50,613.

$60,000.

$111,000.

$118,000.

Reference no: EM131023092

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