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I would like some help solving this problem with steps please, thank you. Carryit, Inc. Carryit, Inc. sells specialty purses, backpacks and messenger bags. The
I would like some help solving this problem with steps please, thank you.
Carryit, Inc. Carryit, Inc. sells specialty purses, backpacks and messenger bags. The company began operations in January 2021 with one store location and one administrative (service) office location. Its departmental income statement for 2021 follows. Carryit, Inc. For the Year Ended December 31, 2021 Departmental Income Statement: Purses Backpacks Messenger Bags $187,775 Combined $507,500 Sales $213,150 $106,575 Cost of goods sold 116,600 111.300 49,500 277,400 Gross profit 96.550 76,475 57,075 230,100 Direct expenses Sales salaries 40,000 30,000 25,000 95.000 Advertising 1,320 990 950 3,260 Store supplies used 795 424 350 1,569 Depreciation of equipment 3,000 1,500 250 4,750 Total direct expenses 45,115 32,914 26,550 104,579 Rent expense $15,000 Utilities expense $5,500 Insurance expense $25,000 Administrative office costs $60,000 Square Feet Insured Assets Purses 2,200 $450,000 Backpacks 1,450 $300,000 Messenger Bags 1,350 $250,000 Total 5,000 $1,000,000 The company allocates rent and utilities expenses based on square feet occupied. Insurance expense is allocated based on the value of insured assets. The administrative office department is allocated based on sales. Required: Calculate the allocated expenses and complete the departmental allocation below. Enter NUMBERS ONLY. DO NOT enter dollar signs ($) or special characters. Allocation: Purses Backpacks Messenger Bags Combined Allocated expenses: Rent expense Utilities expense Insurance expense Share of office dept. expenses Expenses to Be Allocated: Other InformationStep by Step Solution
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