Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Exercise 09-3 Service department expenses allocated to operating departments LO P2 Advertising department expenses of $88,600 and purchasing department expenses of $44,300 of Cozy Bookstore
Exercise 09-3 Service department expenses allocated to operating departments LO P2 Advertising department expenses of $88,600 and purchasing department expenses of $44,300 of Cozy Bookstore are allocated to operating departments on the basis of dollar sales and purchase orders, respectively. Information about the allocation bases for the three operating departments follows. Department Books Magazines Newspapers Total Sales $ 202,400 123, 200 114,400 $440,000 Purchase Orders 861 609 630 2,100 Complete the following table by allocating the expenses of the two service departments (advertising and purchasing) to the three operating departments. Complete this question by entering your answers in the tabs below. Allocation of Exp Alloc of Serv Dept Complete the following table by allocating the expenses of the two service departments (advertising and purchasing) to the three operating departments. Allocation Base Cost to be Allocated Allocated Cost Percent of Allocation Base Numerator Denominator % of Total Advertising Department Books Magazines Newspapers Totals Allocation Base Cost to be Allocated Allocated Cost Percent of Allocation Base Numerator Denominator % of Total Purchasing Department Books Magazines Newspapers Totals Exercise 09-3 Service department expenses allocated to operating departments LO P2 Advertising department expenses of $88,600 and purchasing department expenses of $44,300 of Cozy Bookstore are allocated to operating departments on the basis of dollar sales and purchase orders, respectively. Information about the allocation bases for the three operating departments follows. Department Books Magazines Newspapers Total Sales $202,400 123, 200 114,400 $440,000 Purchase Orders 861 609 630 2,100 Complete the following table by allocating the expenses of the two service departments (advertising and purchasing) to the three operating departments. Complete this question by entering your answers in the tabs below. Allocation of Exp Alloc of Serv Dept Complete the spreadsheet by allocating the expenses of the two service departments (advertising and purchasing) to the three operating departments. (Amounts to be deducted should be indicated with minus sign.) COZY BOOKSTORE Departmental Expense Allocation Spreadsheet Expense Totals Advertising Purchasing Books $ 886,000 $ 88,600 $ 44,300 $248,100 Magazines Newspapers $ 177,200 $ 327,800 Total department expenses Service Dept. Expenses Advertising Dept. Purchasing Dept. Total expenses allocated $ 886,000 Allocation of Exp Alloc of Serv Dept>
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started