1 Exercise 9-3 (Algo) Service department expenses allocated to operating departments LO P2 10 points Lucia Company has two service departments Office and Purchasing Total expenses for the Office is $38,900 and for Purchasing is $38,900. Expenses for the Office are allocated to operating departments based on sales Expenses for Purchasing are allocated to operating departments based on purchase orders Boos Department Books Magazines Newspapers Total Sales $ 150,000 108,000 22.00 $360,000 Purchase Orders 984 600 816 2,400 Hint Allocate the expenses from (a) the Office and (b) Purchasing to each of the company's three operating departments using the given information ASR Allocation Base Print Percent of Allocation Base Cost to be Allocated Allocated Cost Numerator Denominator of Total Office Department Books Magazines Newspapers Totals o References Allocation Base Percent of Allocation Base Numerator Denominator of Total Cost to be Allocated Allocated Cost Purchasing Department Books Magazines Newspapers Totals