Problem 7.6 Student Answer 7.6 Problem 7.6 Student Name: Student ID: (include your ID number to the title of your response file-excel) Hawaii's Surfing Views Hotel has three selling departments: rooms, restaurants and bars. Some of Surfing Views" indirect operating expenses are allocated to the three departments in the following manner. Indirect expense Rent Advertising Depreciation Personnel department Allocation basis Floor space Sales Net book value of assets Salaries and wages Total expense to be allocated $90,000 $20,000 S45.000 S100.000 The hotel's accountant has collected the following information in connection with the hotel's indirect cost allocation exercise. Rooms Restaurants Bars Floor space in square metres 350 100 50 Sales $1,150,000 $250,000 $100,000 Net book value of fixed assets $900,000 $200,000 $100,000 Salaries and wages S250,000 $210,000 S40,000 Required: Calculate the amount of indirect expense to be allocated to each department. Provide your answer at the next tab_Student answer 7.6