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can someone answer exercise 17.18 and 17.19? Exercise 17-18 Direct Method of Service Department Cost Allocation; College (LO 17-1) Bay State Community College enrolls students
can someone answer exercise 17.18 and 17.19?
Exercise 17-18 Direct Method of Service Department Cost Allocation; College (LO 17-1) Bay State Community College enrolls students in two departments, Liberal Arts and Sciences. The col- lege also has two service departments, the Library and the Computing Services Department. The usage of these two service departments' output for the year is as follows: Provider of Service User of Service Library Computing Services Library 20% Computing Services Liberal Arts 60% 30% Sciences 40% 50% The budgeted costs in the two service departments for the year are as follows: Library Computing Services ***** $900,000 360,000 Required: 1. Use the direct method to allocate the budgeted costs of the Library and Computing Services Department to the college's Liberal Arts and Sciences departments. 2. Build a spreadsheet: Construct an Excel spreadsheet to solve the preceding requirement. Show how the solution will change if the following information changes: the budgeted costs of the Library and Computing Services are $890,000 and $340,000, respectively. Exercise 17-19 -Down Method of Service artment Cost Allocation; ege 17-1) Refer to the data given in the preceding exercise. Required: 1. Use the step-down method to allocate Bay State Community College's service department costs to the Liberal Arts and Sciences departments. 2. Build a spreadsheet: Construct an Excel spreadsheet to solve the preceding requirement. Show how the solution will change if the following information changes: the budgeted costs of the Library and Computing Services are $890,000 and $340,000, respectively. ercise 17-20Step by Step Solution
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