Given the following information about the clothing and hardware departments of Eustis Company, prepare a departmental expense allocation sheet showing expenses by department.

...........................................................................Allocation Basis
Rent and Insurance: .........................................................Floor space
Advertising and Supplies: ......................................................Net sales
Salaries: ........................Gross profit of clothing and hardware departments

Transcribed Image Text:

Direct Expenses Account 1. Rent Expense 2. Insurance Expense 3. Depreciation Expense . Advertising Expense 5. Supplies Expense 6. Salaries Expense Indirect Expenses $13,500 7,400 Clothing Hardware 1,550 $2,200 2,800 6,900 Additional Facts Clothing Hardware Net Sales Cost of Goods Sold Floor space $71,000 56,000 $39,000 18,500 260 square feet 600 square feet