The following is a partially completed lower section of a departmental expense allocation spreadsheet for Bookworm Bookstore. It reports the total amounts of direct and indirect expenses allocated to its five departments. Complete the spreadsheet by allocating the expenses of the two service departments (advertising and purchasing) to the three operating departments.


Advertising and purchasing department expenses are allocated to operating departments on the basis of dollar sales and purchase orders, respectively. Information about the allocation bases for the three operating departmentsfollows.

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Department Books Magazines.. Newspapers.... otal... Sales Purchase Orders ..$448,000 144,000 208,000 $800,000 424 312 264 1,000 PN