Question: just A pls! i attached the tables, thanks! Compton Information Services, Inc., has two service departments: human resources and billing. Compton's operating departments, organized according

 just A pls! i attached the tables, thanks! Compton Information Services,
Inc., has two service departments: human resources and billing. Compton's operating departments,
organized according to the special Industry each department serves, are health care,just A pls! i attached the tables, thanks!

Compton Information Services, Inc., has two service departments: human resources and billing. Compton's operating departments, organized according to the special Industry each department serves, are health care, retail, and legal services. The billing department supports only the three operating departments, but the human resources department supports all operating departments and the billing department. Other relevant information follows. Health Care Legal Services Human Resources 10 $720,000 Number of employees Annual cost Annual revenue 80 Billing 20 $1,428,000 - $6,000,000 $9,000,000 Retail 60 $4,800,000 $6,200,000 $2,800,000 $4,800,000 "This is the operating cost before allocating service department costs. Required a. Allocate service department costs to operating departments, assuming that Compton adopts the step method. The company uses the number of employees as the base for allocating human resources department costs and department annual revenue as the base for allocating the billing department costs. Req A1 Reg A2 Req B1 Req B2 Req C1 Reg C2 Allocate service department costs to operating departments, assuming that Compton adopts the step method. The company uses the number of employees as the base for allocating the human resources department costs. Allocation Rate $ Weight of Base Allocated Cost Department Billing Health Care Retail Legal Services Total Reg A2 > Reg A1 Reg A2 Req B1 Reg B2 ReqC1 Reg C2 Allocate service department costs to operating departments, assuming that Compton adopts the step method. The company uses the department annual revenue as the base for allocating the billing department costs. (Round "Allocation rate" to 3 decimal places.) Allocation Department Weight of Base Allocated Cost Rate Health Care Retail Legal Services Total

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!