Question: Support department cost allocationsequential method Martay Creations produces winter scarves. The scarves are produced in the Cutting and Sewing departments. The Maintenance and Security departments

Support department cost allocationsequential method

Martay Creations produces winter scarves. The scarves are produced in the Cutting and Sewing departments. The Maintenance and Security departments support these production departments, and allocate costs based on machine hours and square feet, respectively. Information about each department is provided in the following table:

Department Total Cost Number of Employees Machine Hours Square Feet
Maintenance Department $2,200 5 40 600
Security Department 4,500 3 0 500
Cutting Department 21,200 21 3,600 2,400
Sewing Department 24,900 19 5,400 3,000

Using the sequential method and allocating the support department with the highest costs first, allocate all support department costs to the production departments. Then compute the total cost of each production department.

Line Item Description Cutting Department Sewing Department
Production departments total costs $fill in the blank 1 $fill in the blank 2

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