80.2K

Verified Solution

Link Copied!

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 $ 83,100 Number of employees 56,000 square feet occupied 25,500 Value of assets in use $164,600 Departmental data for the company's recent reporting period follow. Employees 34 17 Department Materials Personnel Manufacturing Packaging Total Square Feet 32,000 16,000 88,000 24,000 160,000 Asset Values $13,200 1,980 34,980 15,840 $66,000 179 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. Allocation Base Cost to be Allocated Allocated Cost Percent of Allocation Base Numerator Denominator % of Total Supervision expenses Department Materials Personnel Manufacturing Packaging Totals Utilities Department Materials Personnel Manufacturing Packaging Allocation Base Cost to be Allocated Allocated Cost Percent of Allocation Base Numerator Denominato % of Total Totals Allocation Base Cost to be Allocated Allocated Cost Percent of Allocation Base Numerator Denominato % of Total Insurance Department Materials Personnel Manufacturing Packaging Totals I Required 1 Required 2 Prepare a summary table that reports the indirect expenses assigned to ea Supervision Utilities Insurance Total Materials Personnel Manufacturing Packaging Totals

Answer & Explanation Solved by verified expert

See Answer