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Blossom Company is a manufacturer of womens and mens swimsuits. The company uses a dual-rate system to allocate support costs. Last years support departments fixed

Blossom Company is a manufacturer of womens and mens swimsuits. The company uses a dual-rate system to allocate support costs. Last years support departments fixed and variable costs are as follows:

Human
Accounting Resources Janitorial Total
Variable costs $ 17,100 $ 20,200 $ 56,200 $ 93,500
Fixed costs 57,000 93,800 54,800 205,600
Total costs $ 74,100 $ 114,000 $ 111,000 $ 299,100

Allocation base amounts for all the departments are as follows:

Human
Accounting Resources Janitorial Women's Men's Total
Employees 2 3 5 9 6 25
Time spent for accounting 16% 11% 21% 31% 21% 100%
Time spent cleaning 5% 9% 16% 30% 40% 100%
Square metres 80 109 129 460 460 1,238
Direct costs $ 74,100 $ 114,000 $ 111,000 $ 849,000 $ 469,000 $ 1,617,100

Use the following allocation bases for fixed support costs: direct costs for accounting, number of employees for human resources, and square metres for janitorial. Allocate fixed support costs using the direct method.

Support Operating

Departments

Departments

Human
Accounting Resources Janitorial Womens Mens Total
Direct Costs

$

% for allocation

Employees

% for allocation

Square metres

% for allocation

Fixed support costs

$

Allocations:
Accounting

Human Resources

Janitorial

Total allocations

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