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Dartford Company reported the following financial data for one of its divisions for the year; average investment center total assets of $3,500,000; investment center income
Dartford Company reported the following financial data for one of its divisions for the year; average investment center total assets of $3,500,000; investment center income $610,000; a target income of 12% of average invested assets. The residual income for the division is: Multiple Choice $493,200. O O $190,000. O O $536,800. O $683,200. $1,030,000 Pepper Department store allocates its service department expenses to its various operating (sales) departments. The following data is available for its service departments: Expense Rent Advertising Administrative Basis for allocation Square feet of floor space Amount of dollar sales Number of employees Amount $ 24,000 $30,000 $ 45,000 The following information is available for its three operating (sales) departments: Department A Square Feet 3,000 3,400 3,600 10,000 B Dollar Sales $ 280,000 $ 300,000 $ 420,000 $1,000,000 Number of employees 6 8 10 Totals 24 What is the total expense allocated to Department B? Multiple Choice $30,775. $32,160. $30,500. $29,375. $30,462
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