Question: Admin. Cost are allocated proportionate to net sales. Admin. Cost: 60,000 Revenues: Department 1: 500,000 Department 2: 300,000 Department 3: 1,000,000 Sales Return Department 2:
Admin. Cost are allocated proportionate to net sales.
Admin. Cost: 60,000
Revenues:
Department 1: 500,000
Department 2: 300,000
Department 3: 1,000,000
Sales Return Department 2: 50,000
What is the amount to allocate to department 1 and department 2?
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