* Allocation base answer options: Direct labor hours, Machine hours, Number of employees, Number of nurse office visits, Space occupied (square feet)

Selecting Cost Allocation Bases and Direct Method Allocations Seattle Company has three producing departments (P1, P2, and P3) for which direct department costs are accumulated. In January, the following indirect costs of operation were incurred. Plant manager's salary and office expense Plant security Plant nurse's salary and office expense Factory depreciation (building) Equipment depreciation Machine maintenance Plant cafeteria cost subsidy $45,100 13,200 15,400 44,000 33,000 15,400 11,000 $177,100 The following additional data have been collected for the three producing departments: P1 P2 P3 Number of employees 20 30 10 Space occupied (square feet) 12,000 6,000 6,000 Direct labor hours 3,400 5,000 1,600 Machine hours 1,500 600 900 Number of nurse office visits 25 20 5 Required a. Determine the common basis for allocation for each of the four cost pools identified below. In addition, calculate the total cost in each of the four cost pools for January Allocation base Cost pool 1. Plant manager's exp. Cafeteria subsidy Total Cost in pool $ $ $ 2. Plant security Bldg depreciation $ $ 3. Nurse's expense 4. Machine maintenance Equipment depreciation $ $ b. Determine the amounts allocated to the three producing departments using the allocation bases used in requirement (a). P1 P2 P3 Total Allocated costs $ $ $ $ c. How much indirect cost would be allocated to each producing department if Seattle Company were using a plantwide rate based on direct labor hours? Note: Round your final answers below to the nearest whole dollar. Note: Do not round the rates used in your calculations. P1 P2 P3 Total Allocated costs $ $ $ $ d. How much indirect cost would be allocated to each producing department if Seattle Company were using a plantwide rate based on machine hours? Note: Round your final answers below to the nearest whole dollar. Note: Do not round the rates used in your calculations. P1 P2 P3 Total Allocated costs $ $ $ $