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Woh Che Co. has four departments: materials, personnel, manufacturing, and packaging. In a recent month, the four departments incurred three shared indirect expenses. The amounts

Woh Che Co. has four departments: materials, personnel, manufacturing, and packaging. In a recent month, the four departments incurred three shared indirect expenses. The amounts of these indirect expenses and the bases used to allocate them follow.

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Exercise 24-5 Departmental expense allocations LO P2 Woh Che Co. has four departments: materials, personnel, manufacturing, and packaging. In a recent month, the four departments incurred three shared indirect expenses. The amounts of these indirect expenses and the bases used to allocate them follow Indirect Expense Supervision Utilities Insurance Total Cost Allocation Base 83,200 Number of employees 57,000 Square feet occupied 26,000 Value of assets in use $166,200 Departmental data for the company's recent reporting period follow Department Materials Personnel Manufacturing Packaging Total Employees Square Feet Asset Values 42,500 8,500 102,000 17,000 170,000 6,700 2,680 36,180 21,440 $67,000 45 81 45 180 1. Use this information to allocate each of the three indirect expenses across the four departments 2. Prepare a summary table that reports the indirect expenses assigned to each of the four departments Required1Required 2 Use this information to allocate each of the three indirect expenses across the four departments Supervision expenses Department Allocation Base Percent of Allocation Base Cost to be Allocated Allocated Cost Numerator Denominator % of Total Materials Personnel Manufacturing Packaging 0 Totals Utilities Department Allocation Base Percent of Allocation Base Cost to be Allocated Allocated Cost Numerator Denominator % of Total Materials Personnel Manufacturing Packaging 0 Totals Insurance Department Allocation Base Percent of Allocation Base Cost to be Allocated Allocated Cost Numerator Denominator % of Total Materials Personnel Manufacturing Packaging 0 Totals 0

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