Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Chilton Day School allocates marketing and administrative costs to its three schools on the basis of each school's annual tuition revenue (as a percentage of

Chilton Day School allocates marketing and administrative costs to its three schools on the basis of each school's annual tuition revenue (as a percentage of the total). Last year the allocations (000s omitted) were as follows: Tuition revenue Marketing and administration Preschool $ 1,500 275 Cost allocation Preschool Middle School $ 1,800 325 In the current year, the middle and high schools experienced no change in revenues, but the preschool's tuition revenue increased to $1.9 million. Marketing and administrative costs rose to $1,250,000. Required: 1. Using revenue as an allocation base, how much current year cost will be allocated to the: (Do not round intermediate calculations. Round your final answers to the nearest whole dollar amounts.) Middle School High School $ 2,200 400 High School $ Total $ 5,500 1,000 Total 0
image text in transcribed
Chilton Day School allocates marketing and administrative costs to its three schools on the basis of each school's annual tuition revenue (as a percentage of the total). Last year the allocations (000s omitted) were as follows: In the current year, the middle and high schools experienced no change in revenues, but the preschool's tuition revenue increased to $1.9 million. Marketing and administrative costs rose to $1,250,000. Required: 1. Using revenue as an allocation base, how much current year cost will be allocated to the: (Do not round intermediate calculations. Round your final answers to the nearest whole dollar amounts.)

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

Accounting A Smart Approach

Authors: Mary Carey, Cathy Knowles

4th Edition

0198844808, 9780198844808

More Books

Students also viewed these Accounting questions

Question

2. Follow through with fair consequences.

Answered: 1 week ago

Question

frame a full fledge business plan fot TIM HORTON.

Answered: 1 week ago