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

Macee Store has three operating departments, and it conducts advertising that benefits all departments. Advertising costs are $108,000. Sales for its operating departments follow. Department 2 Sales $ 272,500 523, 200 294,300 How much advertising cost is allocated to each operating department If the allocation is based on departmental sales? (Do not round your intermediate calculations.) Department Sales Percent of Total 1 2 3 Total % % % % Cost Allocated

Macee Store has three operating departments, and it conducts advertising that benefits all departments. Advertising costs are $108,000. Sales for its operating departments follow. Department 1 2 How much advertising cost is allocated to each operating department if the allocation is based on departmental sales? Note: Do not round your intermediate calculations. Department 1 2 Sales $ 227,500 427,700 254,800 3 Total Sales Percent of Total % % % % Cost Allocated

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A retail store has three department accounting questions

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

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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.

Sandhill Decor sells home decor items through three distribution channels—retail stores, the Internet, and catalog sales. Each distribution channel is evaluated as an investment center. Selected results from the latest year are as follows:   Retail Stores   Internet   Catalog Sales   Sales revenue $12,000,000   $3,700,000   $6,600,000   Variable expenses 4,000,000   1,355,000   1,950,000   Direct fixed expenses 5,960,000   994,500   4,188,000   Average assets 8,000,000   3,700,000   2,000,000   Required rate of return 12%   12%   12%   (a1) Calculate the margin and asset turnover for each of the three distribution channels. (Round answers to 2 decimal places, e.g. 5.12% or 5.12.)   Retail Stores Internet Catalog Sales Margin enter percentages % enter percentages % enter percentages % Asset turnover enter a ratio enter a ratio enter a ratio

Crane Decor sells home decor items through three distribution channels-retail stores, the Internet, and catalog sales. Each distribution channel is evaluated as an investment center. Selected results from the latest year are as follows: Retail Stores Internet Catalog Sales Sales revenue $10,130,000 $4,080,000 $3,400,000 Variable expenses 4,080,000 1,630,000 1,930,000 Direct fixed expenses 4,580,000 1.130.000 1,330,000 Average assets 8,080,000 4,080,000 1,600,000 Required rate of return 10% 10% 10% (a) Your answer is incorrect. Calculate the current residual income for each distribution channel. (If the residual income is a loss then enter with a negative sign preceding the number, e.g. -5,125 or parenthesis, e.g. (5,125).) Residual Income $ Retail $ Online $ Catalog