Indirect Cost Alocation: Direct Method Sprint Manufacturing Company has two production departments, Melting and Molding. Direct general plant management and plant security costs benefit both production departments Sprint allocates general plant management costs on the basis of the number of production employees and plant security costs on the basis of space occupied by the production departments in November, the following Overhead costs were recorded: Meeting Department direct over $110.000 Molding Department direct overhead 400.000 General plant management 500,000 ant security Other pertinent data follow Melting Melding Number of employees 35 40 Space occupied quare feet) .000 20.000 10,000 2,000 Direct labor hours 4,000 20,000 (a) Prepare a schedule allocating general plant management costs and plant security costs to the Melting and Molding Departments Instructions. Do not round computations until your final answers. Ther, round your answer to the nearest whole number Tocal Mein Molding 01 03 General Plant Management Par security i Determine the total department overhead costs for the Melting and Molding Departments Use rounded answers to compute total departmental overhead costs for each department Meltins 0 Moldings 1) Assuming the Melting Department uses machine hours and the Molding Department ses direct bor ho Use rounded answers to compute and then round final answers to two decimal places Melting 10 Moldings Indirect Cost Allocation Direct Method Sprint Manufacturing Company has two production departments, Melting and Molding Direct general plant management and plant security costs benefit both production departments Sprint allocates general plant management costs on the basis of the number of production employees and plant security costs on the basis of space occupied by the production departments in November the following Overhead costs were recorded Department directe d $110.000 Molding Department direct overhead 100.000 General plant manent 100.000 Other pertinent data follow Melting Molding Number of employees Space occupied square feet) 10.000 20.000 Machine hours 10.000 2.000 Direct labor hours 4.000 20.000 (a) Prepare a schedule allocating general plant management costs and plant security costs to the Melting and Molding Departments Instructions. Do not round computations until your finanswers. The round your answer to the nearest whole number Department Total Melting Melding General and Management 01 Plant security (1) Determine the total departmental overhead costs for the Melting and Molding Departments Use rounded answers to compute total departmental overhead costs for each department Melting 0 Molding 50 e here for each production department Assuming the Melting Department ses machine hours and the Molding Department ses direct labor ours to apply overhead to production cam Use rounded answers to computer and then round final answers to two decimal places Melting 50 Molding to
