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I need Help with Questions 2 & 3 Woodland Hotels, Inc., operates four resorts in the heavily wooded areas of northern California. The resorts are
I need Help with Questions 2 & 3
Woodland Hotels, Inc., operates four resorts in the heavily wooded areas of northern California. The resorts are named after the predominant trees at the resort: Pine Valley, Oak Glen, Mimosa, and Birch Glen Woodland allocates its central office costs to each of the four resorts according to the annual revenue the resort generates. For the current year, the central office costs (000s omitted) were as follows: Front office personnel (desk, clerks, etc.) Administrative and executive salaries Interest on resort purchase Advertising Housekeeping Depreciation on reservations computer Room maintenance Carpet-cleaning contract Contract to repaint rooms $ 8,600 4,600 3,600 900 2,600 380 860 62 460 Costs to be allocated $ 22,062 Pine Valley Oak Glen Mimosa Birch Glen Total Revenue (000s) Square feet Roo os) Assets (000s) $ 5,950 8,595 $ 8,917 42,374 72 72,955 77,199 128 $ 92,945 $137,345 7,750 31,212 259,912 472 58,099 $361,344 56,075 84,264 180 Required 1. Based on annual revenue, what amount of the central office costs are allocated to each resort? (Do not round intermediate calculations. Enter your answers in thousands rounded to the nearest dollar.) Pine Valley Oak Glen Mimosa Birch Glen Total Allocated cost 4,206 $ 6,075 6,303 $ 5,478: $ 22,062
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