Manama Enterprises, Ltd., owns and operates three shopping malls in Bahrain. The company allocates its fixed administrative expenses to the three Shopping Malls on the basis of sales dollars. Last year the fixed administrative expenses totaled 1,000,000 and were allocated as follows:

	Shopping Malls
Particular	Riffa	Jufair	Issa town	Total
	SH-1	SH-2	SH-3
Total salesLast Year	$12,000,000	$9,000,000	$7,000,000	$28,000,000
Percentage of total sales	43%	32.14%	25.00%	100%
Allocation (based on the above percentages)	$428,571	$321,429	$250,000	$1,000,000

This year the Jufair SH-2 increased its sales by eight million. The sales levels in the other two restaurants remained unchanged.

Required:

1. Using sales dollars as an allocation base, show the allocation of the fixed administrative expenses among the three shopping malls for this year.
2. Calculate the change in each Shopping malls allocated cost from last year to this year. As the manager of the Jufair, how would you feel about the amount that has been charged to you for this year?
3. Comment on the usefulness of sales dollars as an allocation base.