Seahawks company has two service departments maintenance

Reference no: EM13574484

Seahawks Company has two service departments, Maintenance and Cafeteria, as well as two prodction departments, mixing and bottling. Maintenance department costs are allocated based on square footage and cafeteria department costs are allocated based on number of employees. The following data was available:

Maintenance: Direct costs $210,000 Square Footage 1,000 Number of employees 30

Cafeteria: Direct costs $180,000 Square Footage 2,000 Number of employees 20

Mixing:Direct costs $76,000 Square Footage 4,000 Number of employees 60 Direct Labor Hours 8,000

Bottling: Direct costs $85,000 Square Footage 6,000 Number of employees 100 Direct labor hours 6,000

Assume the direct method is used to allocate service department costs to producing departments.

Required

A. Determine total costs of the mixing department after allocating the service departments costs

B. Determine total costs of the bottling department after allocating the service departments costs

Reference no: EM13574484

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