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Service Department Charges In divisional income statements prepared for Lefevre Company, the Payroll Department costs are charged back Purchasing Department costs are charged back on the basis of the number requisitions. The expenses of $42,000 for the year. The following annual data for Residential basis of the number of payroll distributions, and the of purchase requisitions. The Payroll Department had expenses of $75,400, and the Parchasing Department had , Commercial, and Government Contract divisions were obtained from corporate records: Residential Commercial Government Contract 1,000,000 $1,600,000 Sales $3,200,000 Number of employees Weekly payroll (52 weeks per year) 300 150 200 Monthly payroll 75 90 160 Number of purchase requisitions per yea 4,000 ,000 3,500 a. Determine the total amount of payroll checks and purchase requisitions processed per year by the company and each division. Commercial Government Contract Total Residential Number of payroll checks: Weekly payroll Monthly payroll Total Number of purchase requisitions per year: b. Using the activity base information in (a), determine the annual amount of payroll and purchasing costs charged back to the Residential, Commercial, and Government Contract from payroll and purchasing services. Do not round interim calculations Service department charge rates )per distribution Payroll Department Monthly payroll 160 Number of purchase requisitions per year 4,000 3,500 3,000 a. Determine the total amount of payroll checks and purchase requisitions processed per year by the company and each division Residential Commercial Government Contract otal Number of payroll checks: Weekly payroll Monthly payroll Total Number of purchase requisitions per year: Using the activity base information in (a), determine the annual amoont of payroll and purchasing costs charged back to the Residential, Commercial, and Government Contract divisions from payroll and purchasing services. Do not round interim calculations Service department charge rates: Payroll Department per distribution Purchasing Department per requisition Residential Commercial Government Contract Total Service department charges: Payroll Department Purchasing Department Total c. Residential's service department charge is higher than the other two divisions because Residential is a heavy V user of service department services. Residential has many ansctiom employes on a weekiy perrot, hich taniaites wit a age