Answered step by step
Verified Expert Solution
Question
1 Approved Answer
please show how to calculate, thank you! FF corp. has 2 service departments, admin and accounting, and 2 operating departments, eat and west. Admin cost
please show how to calculate, thank you! FF corp. has 2 service departments, admin and accounting, and 2 operating departments, eat and west. Admin cost are allocated based on employees. Accounting cost are allocated based on transactions. Admin Accounting (employees) (transactions) Direct costs 90,000 35,000 East West 234.000 900,000 35 Employees Transactions 50,000 15 50 20,000 30,000 Using the step method, how much admin cost is assigned to accounting when accounting department cost is allocated first? wered O margin of error +/- 1 service department cost is only allocated one way in the step method. FF corp. has 2 service departments, admin and accounting, and 2 operating departments, eat and west. Admin cost are allocated based on employees. Accounting cost are allocated based on transactions. East West Admin Accounting (employees) (transactions) Direct costs 90,000 35,000 234,000 900,000 15 25 50 Employees Transactions 60,000 10,000 30,000 Using the reciprocal method, what proportion (in decimal format) of the accounting department cost pool will be allocated to the east department? Wen Inswer 0.1 margin of error +/- 1%
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started