VelCraft allocates costs from its payroll department and the maintenance department to its production departments using...
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VelCraft allocates costs from its payroll department and the maintenance department to its production departments using the direct method of allocation. Payroll department costs are allocated based on the number of employees in the department and maintenance department costs are allocated based on the number of square feet that the production department occupies within the factory. Information about the departments is presented below: Department Payroll Maintenance Molding Finishing Packaging Costs $150,000 $220,000 C) $33,083 D) $70,400 Number of Employees 2 8 75 50 25 Number of Square Feet Occupied 2,000 64,000 100,000 60,000 40,000 When the maintenance department costs are allocated, what amount will be charged to the packaging department? (Round your intermediate calculation to two decimal places) A) $44,000 B) $52,932 VelCraft allocates costs from its payroll department and the maintenance department to its production departments using the direct method of allocation. Payroll department costs are allocated based on the number of employees in the department and maintenance department costs are allocated based on the number of square feet that the production department occupies within the factory. Information about the departments is presented below: Department Payroll Maintenance Molding Finishing Packaging Costs $150,000 $220,000 C) $33,083 D) $70,400 Number of Employees 2 8 75 50 25 Number of Square Feet Occupied 2,000 64,000 100,000 60,000 40,000 When the maintenance department costs are allocated, what amount will be charged to the packaging department? (Round your intermediate calculation to two decimal places) A) $44,000 B) $52,932
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Production department Number of square feet occupied Molding 100000 600... View the full answer
Related Book For
Managerial Accounting An Introduction to Concepts Methods and Uses
ISBN: 978-0324639766
10th Edition
Authors: Michael W. Maher, Clyde P. Stickney, Roman L. Weil
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