Question

Jessica Porter works in both the jewelry department and the hosiery department of a retail store. Porter assists customers in both departments and arranges and stocks merchandise in both departments. The store allocates Porter’s $ 30,000 annual wages between the two departments based on a sample of the time worked in the two departments. The sample is obtained from a diary of hours worked that Porter kept in a randomly chosen two- week period. The diary showed the following hours and activities spent in the two departments. Allocate Porter’s annual wages between the two departments.
Selling in jewelry department . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 51 hours
Arranging and stocking merchandise in jewelry department . . . . . . . . . . . . . . . . . . 6 hours
Selling in hosiery department . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 hours
Arranging and stocking merchandise in hosiery department . . . . . . . . . . . . . . . . . . . 7 hours
Idle time spent waiting for a customer to enter one of the selling departments . . . . 4 hours



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  • CreatedNovember 29, 2013
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