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Mercado Lopez owns a furniture store that offers free delivery of merchandise delivered within the...

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Accounting

Mercado Lopez owns a furniture store that offers free delivery of merchandise delivered within the local area. Mileage records for the three sales departments are as follows:

Department 1: 36,000 miles
Department 2: 48,000 miles
Department 3: 16,000 miles

The cost of using the truck for the last year, including depreciation, was $16,000.

Allocate the cost of the truck among the three departments on the basis of miles driven.

Truck Expense
Department 1 $fill in the blank 1
Department 2 fill in the blank 2
Department 3 fill in the blank 3
Total $fill in the blank 4

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