Would a share of food service costs be allocated

Assignment Help Managerial Accounting
Reference no: EM13960522

Auburn Banking and Loan Company has six service departments:

1. Human Resources (hires employees and manages benefits)
2. Duplicating (performs copy services)
3. Janitorial (provides routine cleaning services)
4. Accounting (provides accounting services)
5. Graphic Design (designs forms)
6. Food Services (provides free breakfast and lunch to employees)The services are used by the company's two subsidiaries, Auburn Personal Banking and Auburn Business Banking.

Required:

a. Suggest allocation bases to be used in allocating the service department costs to the two subsidiaries.
b. Food services are used by employees in the human resources department. Would a share of food service costs be allocated to human resources under the direct method of allocation? 

Reference no: EM13960522

Questions Cloud

How do i eork out the complaint rate for europe and canada : HOW DO I EORK OUT THE COMPLAINT RATE FOR EUROPE, Canada, Australia and NewZealand and worldwide.   THE ANSWER NEEDS TO BE SHOWN AS sentences ie  "Complaint rates for Europe represent ~ 1 in 10,000 unit".
Calculate the labor rate variance and the labor efficiency : Calculate the labor rate variance and the labor efficiency variance. Indicate whether the variances are favorable or unfavorable.
Code of ethics and compliance programs : Why is it increasingly common for organizations to have a code of ethics and compliance programs? Do you think that having a code of ethics eliminates ethical issues arising in the organization? Why or why not?
Identify key trends, assumptions, and risks : Develop the strategic objectives for your new division of the existing business in a balanced scorecard format in the context of key trends, assumptions, and risks.The strategic objectives are measures of attaining your vision and mission. As you ..
Would a share of food service costs be allocated : Food services are used by employees in the human resources department. Would a share of food service costs be allocated to human resources under the direct method of allocation?
Probability that the sample mean breaking strength : If the sample size had been 15 rather than 40, could the probability requested in part (a) be calculated from the given information?
Do you agree with nietzsche claim : Do you agree with Nietzsche's claim that "every elevation of the type ‘man' has hitherto been the work of an aristocratic society and so it will always be"? Why or why not
What is the total minimum editing time : Formulate the problem as an assignment model, show all decision variables and constraints. What is the total minimum editing time? What editors will be assigned to each manuscript?
Calculate the value for the earth-sun system : Calculate the value of μ for the Earth-Sun System, the value of μ for the Moon-Earth system, and then,assuming that the mass of the Earth is negligible in the first system (ie that μ for the Sun is just G times the mass of the Sun) and the mass of t..

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Calculate the dollar amount of the total direct labor

Davenport Construction Associates compares actual results with a flexible budget.

  What would you expect to happen to the costs of cakes

In that event, what would you expect to happen to the costs of cakes - measure of complexity is the number of tiers in the cake.

  What should he do if he follows the emv criterion

A member of a group of medical practitioners is considering opening his own private medical practice. He estimates that if demand for his services is high he could realise a profit of $500,000. If demand is low he could lose $200,000.

  Balance sheet for the bonds and for the leases

What amounts will appear in S&R's December 31, 2016, balance sheet for the bonds and for the leases?(Enter your answers in whole dollars.)

  Calculate the cost per equivalent unit for each

Determine the denominators to be used in the calculations of cost per equivalent unit for materials and conversion costs.

  Compute the selling price of the bonds

Compute the selling price of the bonds under the three different options and indicate what option would be the best, and support your answer.

  Professionalism and ethics in accounting

Professionalism and ethics in accounting and the history of accounting

  Identify the companys assets

What must happen in order for the company to succeed, what are the company's most vulnerable areas and identify the company's assets

  Exerciseglacial company estimates that variable costs will

exerciseglacial company estimates that variable costs will be60 of sales and fixed costs will total 926000. the selling

  Claim myrtle under a multiple support agreement

Myrtle is fully supported by her three children and Fred, a close friend of the family. Mark paid $4,000 toward Myrtle's support, while Nancy, Opel, and Fred paid $3,200, $ 800, and $2,000 respectively. Which individual are eligible to claim My..

  Prepare and present financial statements

Develop quantitative skills necessary to read, interpret and perform the calculations for the accounting reports involved in cost control and profit planning - prepare and present financial statements.

  Determine the number of equipment units of production

Direct materials are placed into process at the beginning of production. Determine the number of equipment units of production with respect to direct materials and conversion costs.

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