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Exercise 4B-4 Direct Method [LO4-10] The Ferre Publishing Company has three service departments and two operating departments. Selected data from a recent period on the
Exercise 4B-4 Direct Method [LO4-10] The Ferre Publishing Company has three service departments and two operating departments. Selected data from a recent period on the five departments follow Service Depertments Administration Janitorial Maintenance erating Departments Printing Binding $249,108 588 8,200 9,500 Total $949,10 Costs Number of employees Square feet of space occupied Hours of press time 593,400 110 3,500 $74,700 50 12,900 $35,800 250 11,700 $496,980 280 74,800 29,680 1,270 111,100 39,100 Required: Assuming that the company uses the direct method rather than the step-down method to allocate service department costs, how much cost would be assigned to each operating department? (Please enter allocations from a department as negative and allocations to a department as positive. The line should add across to zero. Do not round intermediate calculetions. Round your answers to the nearest whole dollar amount.) ating Departments AdministrationJanitorial Maintenance Bindi Pr Total Departmental costs before allocations 93,400 $ 74.700 S 35,000S249,100 496,900S 949,100 Administration costs Janitorial costs Maintenance costs (93,400 (74,700 (35,000) Total costs after allocations 0S249,10046900 746,000 Prev Next
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