Question
1-Departmental information for the four departments at Samoa Industries is provided below. Total Cost Cost Driver Square Feet Number of Employees Janitorial $150,000 Square footage
1-Departmental information for the four departments at Samoa Industries is provided below.
Total Cost | Cost Driver | Square Feet | Number of Employees | ||||
Janitorial | $150,000 | Square footage serviced | 200 | 40 | |||
Cafeteria | 50,000 | Number of employees | 20,000 | 12 | |||
Cutting | 1,125,000 | 4,000 | 120 | ||||
Assembly | 1,100,000 | 16,000 | 40 |
The Janitorial and Cafeteria departments are support departments. Samoa uses the sequential method to allocate support department costs, first allocating the costs from the Janitorial Department to the Cafeteria, Cutting, and Assembly departments.
1. Determine the dollar amount of the Janitorial Department costs to be allocated to the:
a. Cafeteria Department | $ | |
b. Cutting Department | $ | |
c. Assembly Department | $ |
2-Given the following cost and activity observations for Bounty Company's utilities, use the high-low method to determine Bounty's variable utilities cost per machine hour. Round your answer to the nearest cent.
Cost | Machine Hours | |
March | $3,019 | 15,101 |
April | 2,628 | 9,886 |
May | 2,888 | 11,803 |
June | 3,664 | 17,639 |
a.$0.80
b.$0.76
c.$0.13
d.$1.60
Departmental information for the four departments at Samoa Industries is provided below. Total Cost Cost Driver Square Feet Number of Employees Janitorial $150,000 Square footage serviced 200 40 Cafeteria 50,000 Number of employees 20,000 12 Cutting 1,125,000 4,000 120 Assembly 1,100,000 16,000 40 The Janitorial and Cafeteria departments are support departments. Samoa uses the sequential method to allocate support department costs, first allocating the costs from the Janitorial Department to the Cafeteria, Cutting, and Assembly departments. 1. Determine the dollar amount th Janitorial Department costs to the a. Cafeteria Department b. Cutting Department c. Assembly Department Given the following cost and activity observations for Bounty Company's utilities, use the high-low method to determine Bounty's variable utilities cost per machine hour. Round your answer to the nearest cent. Cost Machine Hours March $3,019 15,101 April 2,628 9,886 May 2,888 11,803 June 3,664 17,639 Oa. $0.80 Ob. $0.76 Oc. $0.13 Od. $1.60Step by Step Solution
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