Advertising department expenses of $71,000 and purchasing department expenses of $78,900 of Cozy Bookstore are allocated tooperating departments on the basis of dollar sales and purchase orders, respectively. Information about the allocation bases for thethree operating departments follows.DepartmentSalesPurchase OrdersBooks$201,60092,400126,0001,225MagazinesNewspapers725550Total$420,0002,500Complete the following table by allocating the expenses of the two service departments (advertising and purchasing) to the threeoperating departments.Complete this question by entering your answers in the tabs below.Allocation ofAlloc of ServExpDeptComplete the spreadsheet by allocating the expenses of the two service departments (advertising and purchasing) to thethree operating departments. (Amounts to be deducted should be indicated with minus sign.)COZY BOOKSTOREDepartmental Expense Allocation SpreadsheetExpense Totals Advertising PurchasingBooksMagazines NewspapersTotal department expenses2$789,0002$71,000 $ 78,900 $213,000$ 157,800$4268,300Service Dept. Expenses Complete this question by entering your answers in the tabs below.Allocation ofAlloc of ServExpDeptComplete the spreadsheet by allocating the expenses of the two service departments (advertising and purchasing) to thethree operating departments. (Amounts to be deducted should be indicated with minus sign.)COZY BOOKSTOREDepartmental Expense Allocation SpreadsheetExpense Totals Advertising PurchasingBooksMagazines NewspapersTotal department expenses789,0002471,000 $$78,900 $213,000 $ 157,800 $ 268,300Service Dept. ExpensesAdvertising Dept.Purchasing Dept.Total expenses allocated789,000$71,000$ 78,900 $ 213,000$ 157,800 $$ 268,300< Allocation of ExpAlloc of Serv Dept >%24%24

Advertising department expenses of $71,000 and purchasing department expenses of $78,900 of Cozy Bookstore are allocated to operating departments on the basis of dollar sales and purchase orders, respectively. Information about the allocation bases for the three operating departments follows. Department Books Sales Purchase Orders $201,600 92,400 126,000 1,225 Magazines Newspapers 725 550 Total $420,000 2,500 Complete the following table by allocating the expenses of the two service departments (advertising and purchasing) to the three operating departments.

Advertising department expenses of $71,000 and purchasing department expenses of $78,900 of Cozy Bookstore are allocated to operating departments on the basis of dollar sales and purchase orders, respectively. Information about the allocation bases for the three operating departments follows. Department Books Sales Purchase Orders $201,600 92,400 126,000 1,225 Magazines Newspapers 725 550 Total $420,000 2,500 Complete the following table by allocating the expenses of the two service departments (advertising and purchasing) to the three operating departments.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Lucia Company has two service departments: Office and Purchasing. Total expenses for the Office is $60,100 and for Purchasing is $43,000. Expenses for the Office are allocated to operating departments based on sales. Expenses for Purchasing are allocated to operating departments based on purchase orders. Purchase Orders 984 648 768 Department Вooks Sales $ 163,800 97,500 128,700 $ 390,000 Magazines Newspapers Total 2,400 Allocate the expenses from (a) the Office and (b) Purchasing to each of the company's three operating departments using the given information. Cost to be Allocated Office Allocation Base Percent of Allocation Base Allocated Cost Department Numerator Denominator % of Total Вooks Magazines Newspapers Totals Purchasing Cost to be Allocated Allocation Base Percent of Allocation Base Allocated Cost Department Numerator Denominator % of Total Вooks Magazines Newspapers Totals
Lucia Company has two service departments: Office and Purchasing. Total expenses for the Office is $25,000 and for Purchasing is $56,200. 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 Sales Purchase Orders Books $ 186,200 546 Magazines 95,000 364 Newspapers 98,800 390 Total $ 380,000 1,300 Allocate the expenses from (a) the Office and (b) Purchasing to each of the company's three operating departments using the given information.
Pepper Depanment store aliocates ns service department espenses to s various operating sales) departments The folowing dats is avaitable for ts service departments Expense Dasts for allecation ADunt Rent Square feet of flnor space $47,000 47,000 62, 00 Advertising Amount of dollar sales Adainistrative Number of enployees The following information s aveitable for mu three opeating tuale departments Number of Department Square Feet 5,400 8, 100 13,500 Dollar Seles $ 302,000 $ 453, 00 S 755, 000 enployees 15 Totals 27,000 $3,510,000 What as the total expense allocated to Deparnment B Mutiple Choice $32.000 $42065 O s400 $42500 $40.000
Marcus Company has two service departments: Office and Purchasing. Total expenses for the Office is $60,000 and for Purchasing is $80,000. 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 Sales Purchase Orders Books $ 1,056,000 1,548 Magazines 422,400 1,080 Newspapers 441,600 972 Totals $ 1,920,000 3,600 Expenses allocated from the Purchasing department to the company’s Newspaper department are:
MC PROBLEMS Use the following information for the next 5 questions The following information was taken from the records of a branch: Sales by branch Beginning inventory Billings to branch by home office Operating expenses Ending inventory at billed price 2,800,000 2,500,000 400,000 1,000,000 The following information was taken from the records of the home office: 2,600,000 2,000,000 Branch current account Shipments to branch Allowance for markup - Unadjusted 500,000 Your answer How much is the sales of branch to be included in the combined financial statements? 2,240,000 2,333,333 2,800,000 How much is the cost of goods sold of the branch to be included in the combined financial statements? 1,800,000 1,200,000 900,000 1,500,000 How much is the ending inventory of the branch to be included in the combined financial statements? 800,000 1,000,000 1,250,000 8333,333 How much is the true profit (NET INCOME) of the branch? 1,200,000 1,250,000 1,266,667 1,400,000
A retail store has three operating departments (Hardware, Clothes, and Home) supported by two service departments (Advertising and Purchasing). Total Advertising expenses of $ 15,000 are allocated to the operating departments based on sales. Total Purchasing expenses of $17,000 are allocated to the operating departments based on purchase orders. Department Purchase Orders Sales Hardware 550 $ 115,000 Clothes 1, 650 70, 000 Home 3,300 65,000 Totals 5, 500 $250,000
2. The following is a partially completed lower section of a departmental expense allocation for Cozy Bookstore. It reports the total amounts of direct and indirect expenses allocated to its five departments. Allocate the expenses of the two service departments (advertising and purchasing) to the three operating departments and provide the complete income statement. Allocatlon of Expenses to Departments Еxpense Account Bal. Advertising Dept. Purchasing Dept. Books Magazines Dept. Newspapers Dept. Allocation Base Dept. $698,000 $24,000 $34,000 $425,000 $90,000 $125,000 Total department expenses.. Service department expenses Advertising department. Purchasing department. Total expenses allocated to operating departments.. Sales ? .Purch, orders Advertising and purchasing department expenses are allocated to operating departments on the basis of dollar sales and purchase orders, respectively. Information about the allocation bases for the three operating departments follows. Department…
eBook Show Me How Question Content Area Cost Department Allocations In divisional income statements prepared for Demopolis Company, the Payroll Department costs are charged back to user divisions on the basis of the number of payroll distributions, and the Purchasing Department costs are charged back on the basis of the number of purchase requisitions. The Payroll Department had expenses of $48,108, and the Purchasing Department had expenses of $25,080 for the year. The following annual data for Residential, Commercial, and Government Contract divisions were obtained from corporate records: Line Item Description Residential Commercial Government Contract Sales $524,000 $695,000 $1,595,000 Number of employees: Weekly payroll (52 weeks per year) 115 80 85 Monthly payroll 38 49 36 Number of purchase requisitions per year 2,400 1,700 1,600 Required: a. Determine the total amount of payroll checks and purchase requisitions processed per year by the…
7. Construct a P/L skeleton in $ using the following departmental figures. Use the grid provided below. Gross sales .$282,000 Customer returns/allowances... $32,000 Opening inventory (C). .$50,000 Closing inventory (CL. . $4,00 Purchases (C) . $80,000 Freight . $5,000 Cash discounts.. ..3% Returns to vendor.. .2% Alteration/workroom costs.. 1% Advertising . $17,000 Rent.. $15,000 Payrol. .$75,000 Utilities... $13,000
retailer has three departments—Housewares, Appliances, and Clothing—and buys advertising that benefits all departments. Advertising expense is $150,000 for the year, and departmental sales for the year follow: Housewares, $356,250; Appliances, $641,250; and Clothing, $427,500. How much advertising expense is allocated to Appliances if allocation is based on departmental sales? a. $37,500 c. $45,000 e. $641,250 b. $67,500 d. $150,000
DATA ENVELOPMENT ANALYSIS OUTPUT INPUT STORE LOCATION SALES EBITDA STORE ARE(SQ.FT) #EMPLOYEES 1 A 47,682,116 7,459,291 35,523.00 62.0 2 B 42,612,114 3,880,099 39,493.00 75.00 3 C 44,187,228 4,215,221 39,731.00 79.00 4 D 30,487,610 4,201,924 35,833.00 77.00 5 E 41,535,542 5,182,632 36,552.00 75.00 6 F 24,497,561 3,079,086 37,328.00 61.00 7 G 43,749,818 6,485,312 38,709.00 79.00 8 H 24,081,113 1,820,738 37,827.00 66.00 9 K 44,711,757 6,310,682 35,631.00 66.00 10 L 32,138,829 125,696…
PROBLEM U: The following information came from the books and records of the Home Office and its branch. The balances as of December 31, 2020 are as follows: Branch 170,000 Home office 300,000 Sales Shipments to branch Shipments from home office Purchases Operating expenses Inventory, December 31, 2019 Allowance for overvaluation of branch inventory 48,000 60,000 36,000 42,000 32,000 120,000 80,000 50,000 17,200 There were no shipment in transit between the Home office and the branch. Both shipment accounts are properly recorded. The closing inventory of the branch at billed price is P16,800, P6,000 of which were acquired from outside suppliers. The closing inventory of the home office is P18,000. The home office applies a uniform percentage markup on the shipments of inventory to the branch from year to year. 25. How much is the overvaluation in branch's ending inventory as of December 31, 2020? A. С. 15,040 17,200 В. 2,160 D. 26. How much is the net income (loss) of the branch for…