Question: You are tasked with analyzing different cost allocation methods for LMN Corporation. Use the following data: Cost Category Total Cost ($) Allocation Method Maintenance $80,000

You are tasked with analyzing different cost allocation methods for LMN Corporation. Use the following data:

Cost CategoryTotal Cost ($)Allocation Method
Maintenance$80,000Square Footage
Utilities$60,000Number of Employees
Depreciation$50,000Asset Value

Requirements:

  • Allocate costs using the square footage, number of employees, and asset value methods.
  • Calculate the total allocated costs for each method.
  • Present the analysis in a detailed table format.
  • Discuss the suitability of each method for cost allocation.

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