Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

r/takeAssignment/takeAssignmentMain.do?invoker=&takeAssignments.. Tp * Update eBook Show Me How Service Department Charges In divisional income statements prepared for LeFevre Company, the Payroll Department costs are charged

image text in transcribed
image text in transcribed
r/takeAssignment/takeAssignmentMain.do?invoker=&takeAssignments.. Tp * Update eBook Show Me How Service Department Charges In divisional income statements prepared for LeFevre Company, the Payroll Department costs are charged back to user divisions on the basis of the number of payroll distributions, and the Purchasing Department costs are charged back on the basis of the number of purchase requisitions. The Payroll Department had expenses of $61,952, and the Purchasing Department had expenses of $31,860 for the year. The following annual data for Residential, Commercial, and Government Contract divisions were obtained from corporate records: Government Residential Commercial Contract Sales $666,000 $883,000 $2,026,000 Number of employees: Weekly payroll (52 weeks per year) 140 65 70 Monthly payroll 30 41 28 Number of purchase requisitions per year 2,300 1,600 1,500 a. Determine the total amount of payroll checks and purchase requisitions processed per year by the company and each division Residential Commercial Government Contract Total 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 divisions from payroll and purchasing services. If required, round your answers to two decimal places. Do not found your Interim calculations, round your answers to two decimal places, if required. Service department change rates: Payroll Department payroll distribution Check My Work 2 more Check My Works romaining Next Save and Exit Submit Assignment for Grading 26 a otv Number of payroll checks: Weekly payroll Monthly payroll IDI Total Number of purchase requisitions per year: 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 divisions from payroll and purchasing services. If required, round your answers to two decimal places. Do not round your interim calculations, round your answers to two decimal places, if required. Service department charge rates: Payroll Department $ payroll distribution Purchasing Department per requisition Residential Commercial Government Contract Total Service department charges: Payroll Department Purchasing Department ba Total nin este c. Residential's service department charge is than the other two divisions because Residential user of service department services. Residential has many employees on a weekly payroll, which translates into a number of check-issuing transactions. is a ht press Check My Work 2 more Check My Work unos remaining Next >

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Mcgraw Hill 36 Hour Course In Finance For Non Financial Managers

Authors: Robert Cooke

2nd Edition

0071425462, 978-0071425469

More Books

Students also viewed these Accounting questions

Question

What are the objectives of Human resource planning ?

Answered: 1 week ago

Question

Explain the process of Human Resource Planning.

Answered: 1 week ago

Question

What is the role of the Joint Commission in health care?

Answered: 1 week ago