Lucia Company has two service departments: Office and Purchasing. Total expenses for the Office is $24,000...

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Lucia Company has two service departments: Office and Purchasing. Total expenses for the Office is $24,000 and for Purchasing is $34,000. Expenses for the Office are allocated to operating departments based on sales. Expenses for Purchasing are allocated to operating departments based on purchase orders. Department Books Magazines Newspapers Total Sales $ 495,000 Purchase Orders 516 198,000 207,000 360 324 $ 900,000 1,200 Allocate the expenses from (a) the Office and (b) Purchasing to each of the company's three operating departments using the given information. Office Department Books Magazines Newspapers Totals Allocation Base Numerator Percent of Allocation Base Denominator Cost to be Allocated Allocated Cost % of Total Purchasing Allocation Base Percent of Allocation Base Cost to be Allocated Allocated Cost Department Numerator Denominator % of Total Books Magazines Newspapers Totals Lucia Company has two service departments: Office and Purchasing. Total expenses for the Office is $24,000 and for Purchasing is $34,000. Expenses for the Office are allocated to operating departments based on sales. Expenses for Purchasing are allocated to operating departments based on purchase orders. Department Books Magazines Newspapers Total Sales $ 495,000 Purchase Orders 516 198,000 207,000 360 324 $ 900,000 1,200 Allocate the expenses from (a) the Office and (b) Purchasing to each of the company's three operating departments using the given information. Office Department Books Magazines Newspapers Totals Allocation Base Numerator Percent of Allocation Base Denominator Cost to be Allocated Allocated Cost % of Total Purchasing Allocation Base Percent of Allocation Base Cost to be Allocated Allocated Cost Department Numerator Denominator % of Total Books Magazines Newspapers Totals

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Lucia Company Service Department Allocation Allocating Office Expenses Allocation Base Sales Well us... View the full answer