A retailer pays $180,000 rent each year for its two-story building. Space in this building is occupied by five departments as shown here. Department Jewelry Cosmetics Department Housewares Tools Shoes Square feet occupied 1,840 (first-floor) 2,760 (first-floor) Square feet occupied 1,932 (second-floor) 874 (second-floor) 1,794 (second-floor) The company allocates $126,000 of total rent expense to the first floor and $54,000 to the second floor. It then allocates rent expense for each floor to the departments on that floor based on square feet occupied.