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answer 11 12 13 14 with solution (Questions for 1114 ). Spacer Co. has two operating departments and twq service departments. Budgeted cost and activity
answer 11 12 13 14 with solution
(Questions for 1114 ). Spacer Co. has two operating departments and twq service departments. Budgeted cost and activity in the various departments for last year are shown below: Custodial Service department costs are allocated to operating departments; with the cost of Custodial services allocated on the basis of square feet of space occupied and the cost of the cafeteria on the basis of number of employees. Overhead rates of the operating departments are computed based on machine hours. 11. Assume that the company uses direct method of allocation, how much is the amount of custodial services allocated to cutting department? 12. Assume the company uses direct method of allocation, what is the overhead rate of the assembly department? 13. Assume the company uses step method of allocation, with custodial services allocated first, how much is the amount of cafeteria allocated to assembly dept.? . 14..Assume that company uses step-down method of allocation, with custodial services allocated first, what is the overhead rate of the cutting departmentStep by Step Solution
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