Exercise 22-5 Departmental expense allocations LO P2 Woh Che Co has four departments, materials, personnel, manufacturing, and packaging. In a recent month, the four departments Incurred three shared indirect expenses. The amounts of these indirect expenses and the bases used to allocate them follow Indirect Expense Cost Allocation Base Supervision $ 84,100 Number of employees Utilities 66,080 square feet occupied Insurance 38,500 Value of assets in use Total $180,600 Departmental data for the company's recent reporting period follow. Department Employees Square Feet Asset Values Materials 40 31,000 $ 7,680 Personnel 8 15,500 2,280 Manufacturing 54 77,500 50, 160 Packaging 48 31,000 15,960 Total 160 155,000 $76,000 1. Use this information to allocate each of the three indirect expenses across the four departments. 2. Prepare a summary table that reports the indirect expenses assigned to each of the four departments. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Use this information to allocate each of the three indirect expenses across the four departments. Allocation Base Percent of Allocation Base Supervision expenses Cost to be Allocated Allocated Cost Required 1 Required 2 Use this information to allocate each of the three indirect expenses across the four departments Allocation Base Percent of Allocation Base Cost to be Allocated Allocated Cost Numerator Denominator % of Total 0 Supervision exponses Department Materials Personnel Manufacturing Packaging Totals 0 0 0 0 Oo Utilities Allocation Base Percent of Allocation Base Cost to be Allocated Allocated Cost Numerator Denominator % of Total 0 0 Department Materials Personnel Manufacturing Packaging Totals 0 0 0 OO Insurance Allocation Base Percent of Allocation Base Cost to be Allocated Allocated Cost Numerator Denominator % of Total 0 0 Department Materials Personnel Manufacturing Packaging Totals 0 0 0 0 0 Required 2 Departmental data for the company's recent reporting period follow, Department Employees Square Feet Asset Values Materials 40 31,000 $ 7,600 Personnel 15,500 2,288 Manufacturing 64 77,500 50, 160 Packaging 48 31,000 15,960 160 155,000 $76,000 Total 1. Use this information to allocate each of the three indirect expenses across the four departments, 2. Prepare a summary table that reports the indirect expenses assigned to each of the four departments. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a summary table that reports the Indirect expenses assigned to each of the four departments. Supervision Utilities Insurance Total Materials $0 Personnel Manufacturing Packaging $ 0 0 0 0 Totals 0 $ 0 $ 0 $ Required 1
