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Super Grocery Store allocates its service department expenses to its various operating (sales) departments. The following data is available for its service departments: Expense Basis
Super Grocery Store allocates its service department expenses to its various operating (sales) departments. The following data is available for its service departments:
Expense | Basis for allocation | Amount |
---|---|---|
Administrative | Square feet of floor space | $ 29,000 |
Advertising | Amount of dollar sales | $ 22,000 |
The following information is available for its three operating (sales) departments:
Department | Square Feet | Dollar Sales |
---|---|---|
Produce | 1,320 | $ 94,000 |
Bakery | 880 | 44,000 |
Meats | 2,200 | 56,000 |
Totals | 4,400 | $ 194,000 |
What is the total administrative expense allocated to the Meats department?
Multiple Choice
$14,500.
$18,900.
$6,033.
$2,200.
$4,400.
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