Exercise $22-5($Algo$)$ Departmental expense allocations LO P$2$

Renata Company has four departments: Materials, Personnel, Manufacturing, and Packaging. Information follows.

$\backslash$table$[[$Department$,$Employees,Square Feet,Asset Values$],[$Materials$,20,40,000,$$$14,000],[$Personnel$,10,10,000,1,400],[$Manufacturing$,40,120,000,35,000],[$Packaging$,30,30,000,19,600],[$Total$,100,200,000,$$$70,000]]$

The four departments share the following indirect expenses for supervision, utilities, and insurance according to their allocation bases

$\backslash$table$[[$Indirect Expense,Allocation Base$],[$Supervision$,$$$83,500$ Number of employees$],[$Utilities$,60,000$ Square feet occupied$],[$Insurance$,27,500$ Asset values$],[$Total$,$$$171,000]]$

Allocate each of the three indirect expenses to the four departments.

$\backslash$table$[[$Supervision expenses,Allocation Base,Percent of Allocation Base,Cost to be Allocated,Allocated Cost$],[$Department$,,$Numerator,Denominator,$\%$ of Total,,$],[$Materials$],[$Personnel$],[$Manufacturing$],[$Packaging$],[$Totals$],[$Utilities$,$Allocation Base,Percent of Allocation Base,Cost to be Allocated,Allocated Cost$],[$Department$,,$Numerator,Denominator,$\%$ of Total,,$],[$Materials$],[$Personnel$],[$Manufacturing$],[$Packaging$],[$Totals$],[$Insurance$,$Allocation Base,Percent of Allocation Base,Cost to be Allocated,Allocated Cost$],[$Department$,,$Numerator,Denominator,$\%$ of Total,,$],[$Materials$],[$Personnel$],[$Manufacturing$],[$Packaging$],[$Totals$,,,,,,]]$