Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Mack Precision lool and Die has two production departments, Fabricating and Finishing, and two service departments, Repair and Quality Control. Direct costs for each

image

Mack Precision lool and Die has two production departments, Fabricating and Finishing, and two service departments, Repair and Quality Control. Direct costs for each department and the proportion of service costs used by the various departments for the month of March follow: Department Fabricating Finishing Repair Quality Control Required: Proportion of Services Used by Direct Costs Repair Quality Control Fabricating Finishing $ 148,600 114,200 49,200 0 0.2 0.5 0.3 92,000 0.8 0 0.1 0.1 Use the step method to allocate the service costs, using the following: a. The order of allocation starts with Repair. b. The allocations are made in the reverse order (starting with Quality Control). Complete this question by entering your answers in the tabs below. Required A Required B Use the step method to allocate the service costs, using the following: The order of allocation starts with Repair. Note: Amounts to be deducted should be indicated by a minus sign. Do not round intermediate calculations. Cost Allocation To: Quality From: Repair Control Fabricating Finishing Service department costs Repair $ 49,200 $ 92,000 $ 0 $ 0 Quality control

Step by Step Solution

There are 3 Steps involved in it

Step: 1

It appears youre asking for assistance with an accounting exercise involving the allocation of service department costs to production departments usin... blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting Principles

Authors: Paul D Kimmel, Donald E Kieso Jerry J Weygandt

IFRS global edition

1-119-41959-4, 470534796, 9780470534793, 9781119419594 , 978-1119419617

More Books

Students also viewed these Accounting questions

Question

When are project managers assigned to a project?

Answered: 1 week ago