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 Direct Expenses Square Feet Sales Advertising $ 18,000 1,200 Administrative 31,000 1,200 Shoes 87,000 5,160 $ 119,600 Clothing 18,000 4,440 140,400 The advertising department developed and distributed 160 advertisements during the year. Of these, 16 promoted shoes and 144 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 departments expenses to the two operating departments on the basis of the number of ads placed that promoted a departments products, and (4) the administrative departments expenses to the two operating departments based on the amount of sales.

Utilities Percent of Allocation Base COSE 0 D Numerator | Denominatdr% of Total Allocation Base ost pe i Allocated Allocated Cost Cost Department Advertising Administrative Shoes Clothing Totals Percent of Allocation Base Cost to be Numerator | Denominat 1% ofTotal Advertising Allocated Allocated Cost Department Shoes Clothing Totals Administrative Department Allocation Base Percent of Allorcation BaseAllocated Cost to be Allocated Allocated Cost Cost Numerator Denominat+ % of Total Shoes Clothing Totals MARATHON RUNNING SHOP Departmental Expense Allacation Spreadsheet For Year Ended December 31, 2017 Expense TotalsAdvertising AdministrativShoes Clothing Direct expense Indirect utilities expenses Total dept. exp. Service Dept. Fxpenses Advertising Dept Administrative Dept Total expenses allocated