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1.5 12 Lucia Company has two service departments: Office and Purchasing. Total expenses for the Office is $48,200 and for Purchasing is $40,200. Expenses for
1.5 12 Lucia Company has two service departments: Office and Purchasing. Total expenses for the Office is $48,200 and for Purchasing is $40,200. Expenses for the Office are allocated to operating departments based on sales. Expenses for Purchasing are allocated to operating departments based on purchase orders. points Department Books Magazines Newspapers Sales $ 167,700 89,700 132,600 Purchase Orders 1,232 756 eBook Total $ 390,000 812 2,800 Hint Allocate the expenses from (a) the Office and (b) Purchasing to each of the company's three operating departments using the given information. Office Allocation Base Print Department Percent of Allocation Base Numerator Denominator % of Total Cost to be Allocated Allocated Cost Books Magazines References Newspapers Totals Purchasing Allocation Base Percent of Allocation Base Cost to be Allocated Allocated Cost Department Numerator Denominator % of Total Books Magazines Newspapers Totals
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