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Pepper Department Store allocates its service department expenses to its various operating (sales) departments. The following data is available for its service departments: Basis
Pepper Department Store allocates its service department expenses to its various operating (sales) departments. The following data is available for its service departments: Basis for allocation Square feet of floor space Amount of dollar sales Number of employees The following information is available for its three operating (sales) departments: Number of employees 14 16 18 48 Expense Rent Advertising Administrative Department A B C Totals Square Feet 3,800 4,200 4,400 12,400 Dollar Sales $ 304,000 $ 324,000 $452,000 $ 1,080,000 What the total advertising expense allocated to Department B? Amount $ 32,000 46,000 69,000
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