Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Caesar's Entertainment Corporation (CEC) also operates several properties in Las Vegas. The following is a list of selected property-related data. Caesar's Entertainment Corporation Selected property

Caesar's Entertainment Corporation (CEC) also operates several properties in Las Vegas. The following is a list of selected property-related data. Caesar's Entertainment Corporation Selected property data Property As of December 31, 2020 Casino space (square feet) Slot machines Table games Hotel rooms & suites Flamingo Las Vegas 78,000 1,200 110 3,500 Harrah's New Orleans 89,000 1,300 90 2,500 Paris Las Vegas 96,000 900 100 2,900 Rio All-Suites Hotel & 115,000 1,100 70 2,600 Casino Bally's Las Vegas 70,000 950 70 2,800 The Cromwell 42,000 350 50 200 Planet Hollywood 66,000 1,000 100 2,700 The LINQ 30,000 750 50 2,300 Caesars Palace Las Vegas Totals 150,000 736,000 1,500 9,050 150 4,000 790 23,500 Select a cost driver/allocation base for each of the activity cost pools in the table below. The cost drivers should come from the information provided in the table above Justify your choice of the cost driver for each of the activity cost pools. Please note that there may not be just one correct answer for one or more of the cost pools. Calculate a cost activity pool rate for each of the following pools. How much of each cost pool will be allocated to Harrah's New Orleans? (Note: each answer will be submitted on a separate question). Cost Pool Slot machine maintenance costs Casino utilities expenses Property taxes Housekeeper wages and benefits Casino dealer wages and benefits Total $1,864,800 $40,948,000 $6,400,000 $13,432,800 $14,480,000 Required: Cost driver for the slot machine maintenance costs activity: Why did you choose that cost driver for that activity? For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). BIUS Paragraph Arial P 10pt > !!! !!! A IX 0 WORDS POWERED BY TINY Cost activity pool rate for the activity: Slot machine maintenance costs For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). BIU Paragraph Arial P 10pt !!! !!! A Ix ... 0 WORDS POWERED BY TINY How much of each cost pool will be allocated to Harrah's New Orleans? Slot machine maintenance costs: B Required: Cost driver for the casino utilities expenses activity: Why did you choose that cost driver for that activity? For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). BIU Paragraph Arial P 10pt !!! !!! A Tx ... 0 WORDS POWERED BY TINY Cost activity pool rate for the activity: Casino utilities expenses For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). BIU Paragraph Arial P 10pt !!! > ||| A IX 0 WORDS POWERED BY TINY How much of each cost pool will be allocated to Harrah's New Orleans? Casino utilties expenses: Required: Cost driver for the property taxes activity: Why did you choose that cost driver for that activity? For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). BIUS Paragraph Arial 10pt P > !!! > E !!! A I ... 0 WORDS POWERED BY TINY Cost activity pool rate for the activity: Property taxes For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). BIU Paragraph Arial P 10pt !!! > ||| A IX 0 WORDS POWERED BY TINY How much of each cost pool will be allocated to Harrah's New Orleans? Property taxes: Required: Cost driver for the housekeeper wages and benefits activity: Why did you choose that cost driver for that activity? For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). BIUS Paragraph Arial P 10pt > !!! > E !!! A IX ... 0 WORDS POWERED BY TINY Cost activity pool rate for the activity: Housekeeper wages and benefits For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). BIUS Paragraph Arial P > 10pt > III > !!! A TX 0 WORDS POWERED BY TINY How much of each cost pool will be allocated to Harrah's New Orleans? Housekeeper wages and benefits: Required: Cost driver for the casino dealer wages and benefits activity: Why did you choose that cost driver for that activity? For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). BIU Paragraph Arial P 10pt > !!! > E !!! A IX ... 0 WORDS POWERED BY TINY Cost activity pool rate for the activity: Casino dealer wages and benefits For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). BIU Paragraph Arial P 10pt > > !!! III E A IX ... 0 WORDS POWERED BY TINY How much of each cost pool will be allocated to Harrah's New Orleans? Casino dealer wages and benefits

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Introduction To Management Accounting

Authors: Charles T. Horngren, Gary Sundum, Gary L. Sundem

8th Edition

0134870751, 978-0134870755

More Books

Students also viewed these Accounting questions

Question

Persuading Your Audience Strategies for

Answered: 1 week ago