QS 24-5 Allocating costs to departments LO P2

Macee Department Store has three departments, and it conducts advertising campaigns that benefit all departments. Advertising costs are $112,000 this year, and departmental sales for this year follow.

Department	Sales
1	$	228,000
2		349,600
3		182,400

How much advertising cost is allocated to each department if the allocation is based on departmental sales?

Department	Sales	% of Total	Advertising to Allocate	Allocated Amount
1
2
3
Total	$0	0.00%		$0