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Question
The following is a partially completed lower section of a departmental expense allocation spreadsheet for Stoneham. It reports the total amounts of direct and indirect expenses for the four departments. Purchasing department expenses are allocated to the operating departments on the basis of purchase orders. Maintenance department expenses are allocated based on square footage. Compute the amount of Purchasing department expense to be allocated to Assembly.
| Purchasing | Maintenance | Fabrication | Assembly | |
| Operating costs | $32,000 | $18,000 | $96,000 | $62,000 |
| No. of purchase orders............... | 16 | 4 | ||
| Sq. ft. of space | 3,300 | 2,700 |
A. $6,400.
B. $9,900.
C. $8,100.
D. $14,400.
E. $25,600.
Answer
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Related questions
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Use the following information to prepare a budgeted income statement for Arbor Company for the month of June.
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Use the following information to prepare the June cash budget for Arbor Company. It should show expected cash receipts and cash disbursement for the month and the cash balance expected on June 30.
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