Seattle Western University has provided the following data to be used in its service department cost allocations:
Question:
Seattle Western University has provided the following data to be used in its service department cost allocations:
Required:
Using the direct method, allocate the costs of the service departments to the two operating departments. Allocate the costs of Administration on the basis of student credit-hours and Facility Services costs on the basis of space occupied.
Transcribed Image Text:
Service Departments Operating Departıments Graduate Programs Facility Undergraduate Services Administration Programs Departmental costs before allocations $2,400,000 $1,600,000 $26,800,000 20,000 $5,700,000 Student credit-hours 5,000 Space occupied-square feet 25,000 10,000 70,000 30,000
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Related Book For
Managerial Accounting
ISBN: 978-0697789938
13th Edition
Authors: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer
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