Soved Supp 4B Quiz G 1 Required information The Ferre Publishing Company has three service departments and two operating departments. Selected data from a recent period on the five departments follow: Service Departments Administration Tanitorial Maintenance $156,880 $117,600 $53,760 60 35 140 15, eee 10,080 20,000 Costs Number of employees Square feet of space occupied Hours of press time Operating Departments Binding Printing $308,000 $481,600 315 210 40,000 100,000 30,888 60,000 Total $1,117,760 760 185,880 90,000 Part 1 of 2 00:57:22 The company allocates service department costs by the step-down method in the following order: Administration (number of employees). Janitorial (space occupled), and Maintenance (hours of press time) Required: Using the step-down method, allocate the service department costs to the operating departments. (Please enter allocations from a department as negative and allocations to a department as positive. The line should add across to zero. Do not round Intermediate calculations.) Service Departments Administration Janitorial Maintenance S 156 800 $ 117.800 S 53.760 Operating Departments Binding Printing Total S 308,000 $ 481,600 $ 1.117,360 Departmental costs before allocations Allocations Administration costs Janitorial costs Maintenance costs Total costs after allocations $ 156,800 $ 117,600 $ 53,760 $ 308,000 $ 481,600 $ 1.117,760 2 Required information The Ferre Publishing Company has three service departments and two operating departments. Selected data from a recent period on the five departments follow: Part 2 of 2 Costs Number of employees Square feet of space occupied Hours of press time Service Departments Administration Janitorial Maintenance $156,880 $117,688 $53,760 68 35 140 15,00 18,8ee 2e, Operating Departments Binding Printing $388,888 $481,698 315 218 4a, Bee 108,00 33, Bee ba, Total $1,117,760 760 185, see 9e, see 00:57:16 Bos Administration is allocated based on number of employees; Janitorial based on space occupied; and Maintenance based on hours of press time. Required: Assuming that the company uses the direct method to allocate service department costs how much cost would be assigned to each operating department? (Please enter allocations from a department as negative and allocations to a department as positive. The line should add across to zero. Do not round intermediate calculations.) Service Departments Administration Janitorial Maintenance S 156,800 $ 117 600 S 53,769 Operating Departments Binding Printing $ 300,000 $ 481,600 S Total 1.117.760 Departmental costs before allocations Allocations Administration costs Janitorial costs Maintenance costs Total costs after allocations S 156,800 $ 117,600 S 53 760 & 308 000 5 481.800 S 5 1.117,760
