What the total amount of indirect factory expenses

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Ready Company has two operating (production) departments: Assembly and Painting. Assembly has 200 employees and occupies 61,200 square feet; Painting has 50 employees and occupies 40,800 square feet.

Indirect factory expenses for the current period are as follows:

Administration$91,000

Maintenance$111,000

Problem 1: Administration is allocated based on workers in each department; maintenance is allocated based on square footage. The total amount of indirect factory expenses that should be allocated to the Painting Department for the current period is:

Multiple Choice

Option 1: $72,800.
Option 2: $66,600.
Option 3: $62,600.
Option 4: $139,400.
Option 5: $125,200.

Reference no: EM132973544

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