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10 The Ferre Publishing Company has three service departments and two operating departments. Selected data from a recent period on the five departments follow: Part
10 The Ferre Publishing Company has three service departments and two operating departments. Selected data from a recent period on the five departments follow: Part 2 of 2 Part 2 of 2 Service Departments Administration Janitorial Maintenance Costs $147,000 $110,250 $50,400 Number of employees 60 35 140 Square feet of 15,000 10,000 space occupied 20,000 Hours of press time Operating Departments Binding Printing Total $288,750 $451,500 $1,047,900 315 210 760 5 points 100,000 185,000 40,000 30,000 60,000 9 90,000 eBook Print References References Administration is allocated based on number of employees; Janitorial based on space occupied; and Maintenance based on hours of press time. Required: Assuming that the company uses the direct method to allocate service department costs, how much cost would be assigned to each operating department? (Please enter allocations from a department as negative and allocations to a department as positive. The line should add across to zero. Do not round intermediate calculations.) Service Departments Administration Janitorial Maintenance $ 147,000 $ 110.250 $ 50,400 Operating Departments Binding Printing $ 288,750 $ 451,500 Total $ 1,047,900 Departmental costs before allocations Allocations Administration costs Janitorial costs Maintenance costs Total costs after allocations $ 147,000 $ 110.250 $ 50,400 $ 288,750 $ 451,500 $ 1,047,900
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