CH8-Q2)

Calculate the total costs (direct plus allocated) for each production department. ( Round answers to 2 decimal places, e.g. 15.25.) Production Departments Cutting Assembly Total costs Calculate a cost per unit produced for cutting and assembly. ( Round answers to 2 decimal places, e.g. 15.25.) Production Departments Cutting Assembly Cost per unit $Sheridan Manufacturing produces wooden outdoor furniture. Sheridan uses the step-down method to allocate service department costs to the production departments. There are two service departments: administration and custodial services, and two production departments: cutting and assembly. Allocates administration costs rst followed by custodial services costs. Administration costs are allocated based on labour hours, and custodial services costs are allocated based on space occupied. Direct costs $146,100 $99,600 $333,000 $694,600 Labour hours 11,900 10,600 27,500 50,000 Space occupied (m2) 4,700 4,700 19,520 32,020 # units produced 52,400 86,400 (a2) Allocate the custodial services costs to the production departments. (Round intermediate calculations to 6 decimal places, e.g. 1.246873 and final answers to 2 decimal places, e.g. 15.25.) Production Departments Cutting Assembly Allocation of custodial services costs $ $ eTextbook and Media Save for Later Attempts: 0 of 2 used Submit