Departmental information for the four departments at Samoa Industries is provided below.
|
Total Cost |
Cost Driver |
Square Feet |
Number of Employees |
Janitorial |
$ 150,000 |
Square footage serviced |
200 |
40 |
Cafeteria |
50,000 |
Number of employees |
20,000 |
12 |
Cutting |
1,125,000 |
|
4,000 |
120 |
Assembly |
1,100,000 |
|
16,000 |
40 |
The Janitorial and Cafeteria departments are support departments. Samoa uses the sequential method to allocate support department costs, first allocating the costs from the Janitorial Department to the Cafeteria, Cutting, and Assembly departments. Determine the dollar amount of the Janitorial Department costs to be allocated to the (a) Cafeteria, (b) Cutting, and (c) Assembly departments.
The answer has been presented in the supporting sheet. For detailed answer refer to the supporting sheet.
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