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The following cost data pertain to the operations of Quinonez Department Stores, Incorporated, for the month of September Corporate headquarters building lease $ 78,000 Cosmetics
The following cost data pertain to the operations of Quinonez Department Stores, Incorporated, for the month of September Corporate headquarters building lease $ 78,000 Cosmetics Department sales commissions-Northridge Store $ 5,270 Corporate legal office salaries $ 66,500 Store manager's salary-Northridge Store $ 12,200 Heating-Northridge Store $ 20,400 Cosmetics Department cost of sales-Northridge Store $ 39,100 Central warehouse lease cost $ 9,800 Store security-Northridge Store $ 16, 200 Cosmetics Department manager's salary-Northridge Store $ 4,310 The Northridge Store is just one of many stores owned and operated by the company. The Cosmetics Department is one of many departments at the Northridge Store. The central warehouse serves all of the company's stores. What is the total amount of the costs listed above that are direct costs of the Cosmetics Department? Wedd Corporation uses activity-based costing to assign overhead costs to products. Overhead costs have already been allocated to the company's three activity cost pools as follows: Processing, $52,200; Supervising, $36,700; and Other, $19,200. Processing costs are assigned to products using machine-hours (MHs) and Supervising costs are assigned to products using the number of batches. The costs in the other activity cost pool are not assigned to products. Activity data appear below: Product 06 Product D7 Total Batches MHS (Processing) (Supervising) 11,700 1,030 1,270 900 12,970 1,930 The activity rate for the Processing activity cost pool under activity-based costing is closest to
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