Exercise 22-6 Departmental expense allocation spreadsheet LO P2

Marathon Running Shop has two service departments (advertising and administrative) and two operating departments (shoes and clothing). The table that follows shows the direct expenses incurred and square footage occupied by all four departments, as well as total sales for the two operating departments for the year 2017.

Department	Direct Expenses				Square Feet				Sales
Advertising	$	19,000				1,350
Administrative		22,000				1,350
Shoes		93,000				4,800			$	204,800
Clothing		12,000				7,500				115,200

The advertising department developed and distributed 230 advertisements during the year. Of these, 69 promoted shoes and 161 promoted clothing. Utilities expense of $45,000 is an indirect expense to all departments. Complete a departmental expense allocation spreadsheet for Marathon Running Shop. The spreadsheet should assign (1) direct expenses to each of the four departments, (2) the $45,000 of utilities expense to the four departments on the basis of floor space occupied, (3) the advertising departments expenses to the two operating departments on the basis of the number of ads placed that promoted a departments products, and (4) the administrative departments expenses to the two operating departments based on the amount of sales.

Can someone please help me completing this problem please?

l Ch 22 HW Help Save & Exit Check my 2 ilities Base Allocated Flaor space occupied Numerator Denominator % of Total 1,350 1.350 Administrative 10 Shoes Totals Cost to be Allocated Allocated Cost eDook ertising Allocation Base Number of ads Numerator l Denominator | % of Total 93,000 12.000 105,000 Tolals Cost to be Allocated dministrative Allocatlon Base Percent of Allocation Base Allocated Cost Sales Numerator | Denominator | % of Total Shoes Totals MARATHON RUNNING SHOP Departmental Expense Allocation Spreadsheet For Year Ended December 31, 2017 Expense Totals ShoesClothing ng Admini Direct expense Indirect utilities expenses Total dept. exp. Service Dept. Expenses Advertising Dept. Administrative Dept. Total e 146,000$ 19,000 S 22,00093,0001 $ 12,000 22,500 34,500 4,050 4,05014.400 45,000 191,000 23,050 26,050107.400 (26,050 16.672 9.37B 60,013 $103,891 191,000) 130,987 164,950255.05 xpenses cated$