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Please follow char layout and give an explanation if possible. Thank you! Advertising and purchasing department expenses of Cozy Bookstore are allocated to operating departments
Please follow char layout and give an explanation if possible. Thank you!
Advertising and purchasing department expenses of Cozy Bookstore are allocated to operating departments on the basis of dollar sales and purchase orders, respectively. The purchasing department had total expenses of $43,000 and the advertising department had total expenses of $60,100. Information about the allocation bases for the three operating departments follows Sales Purchase Orders Department Books Magazines Newspapers $163,800 97,500 128,700 984 648 768 Total $390,000 2,400 Complete the following table by allocating the expenses of the two service departments (advertising and purchasing) to the three operating departments (see the expenses below) Allocation Base Cost to be allocated Allocated Cost Advertising Department Percent of Allocation Base Numerator Denominator %Of Total Books Dept Magazines Dept Newspapers Dept Totals Purchasing Department Allocation Base Percent of Allocation Base Cost to be allocated Allocated Cost Numerator Denominator %Of Total Books Dept Magazines Dept Newspapers Dept TotalsStep by Step Solution
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