Check my work Exercise 22-6 (Algo) Departmental expense allocations LO P2 Gomez Company has two service departments (Personnel and Office) and two operating departments (Shoes and Clothing). Following are the direct expenses and square feet occupied by the four departments, and the total sales for the two operating departments. Department Personnel Office Shoes Clothing Direct Expenses Square Feet Sales $ 15,000 24,000 102,000 10,000 770 1,320 4,620 4,290 $ 273,800 96,200 The company also has $50,000 of utilities expense, which is an indirect expense to all departments and is allocated to the four departments based on square feet occupied. The Shoes department has 15 employees and the Clothing department has 135 employees. Personnel expense is allocated to operating departments based on the number of employees. Office expense is allocated to operating departments based on sales. 1. Allocate utilities expense to the four departments. 2. Allocate personnel expense to the Shoes and Clothing departments. 3. Allocate office expense to the Shoes and Clothing departments. Utilities Department Allocation Base Square feet occupied Percent of Allocation Base Cost to be Allocated Allocated Numerator Denominator % of Total Personnel Office 770 1,320 0 0 Shoes 0 Clothing 0 Totals 0 Personnel expense Allocation Base Percent of Allocation Base Cost to be Allocated Allocated Department Number of employees Numerator Denominator % of Total Shoes 0 Clothing 0 Totals Office expense Allocation Base Percent of Allocation Base Cost to be Allocated Allocated Department Sales Numerator Denominator % of Total Shoes Clothing 0 0 Totals 0