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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. Indirect Expense Supervision Utilities Insurance Total Cost Allocation Base $ 83,880 Number of employees 63,000 square feet occupied 29,000 Value of assets in use $175,800 Departmental data for the company's recent reporting period follow. Employees Department Materials Personnel Manufacturing Packaging Total Square Feet 37,500 6,250 68,750 12,50 125,000 Asset Values $19,950 3,650 38.690 19,710 $73,000 use this information to allocate each of the three indirect expenses across the four departments. Allocation Base Cost to be Allocated Allocated Cost Supervision expenses Department Materials Percent of Allocation Base Numerator Denominator % of Total Personnel Manufacturing Packaging Totals Utilities Allocation Base Cost to be Allocated Allocated Cost Percent of Allocation Base Numerator Denominator % of Total Department Materials Personnel Manufacturing Packaging Totals Insurance Allocation Base Cost to be Allocated Allocated Cost Percent of Allocation Base Numerator Denominato % of Total Department Materials Personnel Manufacturing Packaging Totals Required 1 Required 2 Prepare a summary table that reports the indirect expenses assigned to each of the four departments. Total Supervision Utilities Insurance Materials Personnel Manufacturing Packaging Totals S0S 0S 0 0
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