Question
Texas Toys, a retail store, has four sales departments supported by three service departments. Cost and operational data for each department follow: Purch. Sales Cost
Texas Toys, a retail store, has four sales departments supported by three service departments. Cost and operational data for each department follow:
Purch. Sales Cost of Square Orders
Department Sales Goods Sold Footage Issued
| 1...... | $92,160 | $36,864 | 1,728 | 1,260 |
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| 2...... | 69,120 | 32,832 | 3,024 | 1,680 |
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| 3...... | 80,640 | 32,256 | 1,296 | 2,310 |
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| 4...... | 46,080 | 27,648 | 2,592 | 1,750 |
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Service |
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Departments | Allocation Basis | Cost | ||||||
Advertising.. | Sales | $10,000 | ||||||
Maintenance | Square footage | 6,900 | ||||||
Purchasing... | No. of purchase orders issued | 12,000 | ||||||
Determine the service department expenses to be allocated to Sales Departments 1 - 4 for: Advertising Maintenance
Purchasing
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