Question

Exercise 7.14   Identifying Causal Factors for Support Department Cost Allocation Identify some possible causal factors for the following support departments:
a. Cafeteria b.   Custodial services c. Laundry d.   Receiving, shipping, and stores e. Maintenance f. Personnel g. Accounting h. Power i.   Building and grounds

Answer 1

Support Department	Casual Factors
a.Cafeteria	Number of employees
b.   Custodial services	Square Footage
c. Laundry	Pounds of laundry
d.   Receiving, shipping, and stores	Order processed
e. Maintenance	Maintenance hours worked
f. Personnel	Number of employees
g. Accounting	Number of transactions processed
h. Power	Machine hours
i.   Building and grounds	Square Footage