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A retailer pays $170,000 rent each year for its two-story building. The space in this building is occupied by five departments as specified here Jewelry
A retailer pays $170,000 rent each year for its two-story building. The space in this building is occupied by five departments as specified here Jewelry department Cosmetics department Housewares department Tools department Shoes department 1,380 square feet of first-floor space 3, 220 square feet of Tirst-Tloor space 2,024 square feet of second-floor space 736 square feet of second-floor space 1,840 square feet of second-floor space The company allocates 60% of total rent expense to the first floor and 40% to the second floor, and then allocates rent expense for each floor to the departments occupying that floor on the basis of space occupied Determine the rent expense to be allocated to each department. Amount Allocated % of Total Cost First floor Second floor Totals 09 | First Floor Sq. Feet % of Total Cost Jewelry Dept. Cosmetics Dept. Totals 09 | Second Floor Housewares Dept. Tools Dept. Shoes Dept. Totals Sq. Feet % of Total Cost 09 |
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