Octogon, Inc. has three operating departments: Cutting, Assembling, and Finishing. The data below are provided fo the current year: Cutting Dept. Assembling Dept Finishing Dept 5,000 # workers 4,000 Square ft occupied 12.000 sq ft 1,000 15,000 sq ft 23.000 sq ft

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Octogon, Inc. has three operating
departments: Cutting, Assembling, and
Finishing. The data below are provided for
the current year:
Assembling Dept
# workers
4,000
Cutting Dept
Finishing Dept
5,000
1,000
Square ft occupied 15,000 sq ft
12,000 sq ft
23,000 sq ft
Total Maintenance costs of $220,000 are
allocated to each department based on
the number of square feet.
Determine the Maintenance costs to be
allocated to each department.
Check figure: Finishing Dept $101,200
Transcribed Image Text:Octogon, Inc. has three operating departments: Cutting, Assembling, and Finishing. The data below are provided for the current year: Assembling Dept # workers 4,000 Cutting Dept Finishing Dept 5,000 1,000 Square ft occupied 15,000 sq ft 12,000 sq ft 23,000 sq ft Total Maintenance costs of $220,000 are allocated to each department based on the number of square feet. Determine the Maintenance costs to be allocated to each department. Check figure: Finishing Dept $101,200
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