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 $45,900, and the Purchasing Department had expenses of $19,360 for the year. The following annual data for Residential, Commercial, and Government Contract divisions were obtained from corporate records:   Residential Commercial Government Contract Sales $ 405,000   $ 536,000   $ 1,231,000   Number of employees:   Weekly payroll (52 weeks per year) 145   60   65     Monthly payroll 32   43   30   Number of purchase               requisitions per year 1,900   1,300   1,200   a.  Determine the total amount of payroll checks and purchase requisitions processed per year by the company and each division.   Residential Commercial Government Contract Total Number of payroll checks:   Weekly payroll         Monthly payroll         Total         Number of purchase requisitions per year         b.  Using the activity base information in (a), determine the annual amount of payroll and purchasing costs charged back to the Residential, Commercial, and Government Contract divisions from payroll and purchasing services. Do not round your interim calculations, round your answers to two decimal places, if required. Service department charge rates: Payroll Department $ per payroll check Purchasing Department $ per purchase requisition   Residential Commercial Government Contract Total Service department charges:  Payroll Department $ $ $ $ Purchasing Department         Total $ $ $

Service Department Charges

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 $45,900, and the Purchasing Department had expenses of $19,360 for the year. The following annual data for Residential, Commercial, and Government Contract divisions were obtained from corporate records:

a.  Determine the total amount of payroll checks and purchase requisitions processed per year by the company and each division.

b.  Using the activity base information in (a), determine the annual amount of payroll and purchasing costs charged back to the Residential, Commercial, and Government Contract divisions from payroll and purchasing services. Do not round your interim calculations, round your answers to two decimal places, if required.