Marathon Running Shop has two service departments (advertising and administrative) and two operating departments (shoes and clothing). The table that follows shows the direct expenses incurred and square footage occupied by all four departments, as well as total sales for the two operating departments for the year 2017. Department Advertising Administrative Direct Expenses Sales Square Feet 600 $ 12,000 420 31,000 85,000 16,000 $135,200 124,800 Shoes 2,340 2,640 Clothing The advertising department developed and distributed 140 advertisements during the year. Of these, 14 promoted shoes and 126 promoted clothing. Utilities expense of $50,000 is an indirect expense to all departments. Complete a departmental expense allocation spreadsheet for Marathon Running Shop. The spreadsheet should assign (1) direct expenses to each of the four departments, (2) the $50,000 of utilities expense to the four departments on the basis of floor space oCcupied, (3) the advertising department's expenses to the two operating departments on the basis of the number of ads placed that promoted a department's products, and (4) the administrative department's expenses to the two operating departments based on the amount of sales. XAnswer is not complete. Cost to be Allocated Allocated Cost Percent of Allocation Base Utilities Allocation Base Floor space % of Total Department Numerator Denominator occupied 600 $ 50,000 Advertising 600 6,000 10.00 5,000 420 420 Administrative 6,000 7.00 50,000 3,500 2,340 Shoes 2,340 6,000 39.00 50,000 19,500 2,640 Clothing 2,640 6,000 44.00 50,000 22,000 Totals 6,000 100.00 50,000 Cost to bei Allocated Allocated Cost Advertising Allocation Base Percent of Allocation Base % of Total Numerator Department Number of ads Denominator 14 14 140 Shoes 10.00 126 126 Clothing 140 90.00 140 100.00 Totals Cost to be Allocated Cost Administrative Allocation Base Percent of Allocation Base Allocated % of Department Sales Numerator Denominator Total 135,200S 135,200 260,000 Shoes 52.00 124,800 124,800 Clothing 260,000 48.00 Totals 260,000 100,00 MARATHON RUNNING SHOP Departmental Expense Allocation Spreadsheet For Year Ended December 31, 2017 Expense Totals Advertising Administrative Shoes Clothing 12,000 S 31,000 $85,000 16,000 144,000 expense Indirect utilities 3,500 22,000 5,000 19,500 50,000 expenses Total dept. exp. 104,500 194,000 17,000 34,500 38,000 Service Dept Expenses Advertising Dept. Administrative Dept Total expenses allocated $ 38.000 194,000 17,000 34,500 104,500