Exercise 11-10(Algo) Sales Dollars as an Allocation Base for Fixed Costs [LO11-4] Konig...

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Accounting

Exercise 11-10(Algo) Sales Dollars as an Allocation Base for Fixed Costs [LO11-4]
Konig Enterprises, Limited, owns and operates three restaurants in Vancouver, B.C. The company allocates its fixed administrative expenses to the three restaurants on the basis of sales dollars. Last year the fixed administrative expenses totaled $970,000 and were allocated as follows:
\table[[,,Restaurants,,],[,\table[[Rick's],[Harborside]],Imperial Garden,Ginger Wok,Total],[Total sales-Last Year,$22,500,000,$17,500,000,$10,000,000,$50,000,000
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