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Exercise 9-5 Departmental expense allocations LO P2 Woh Che Co. has four departments: materials, personnel, manufacturing, an
Complete this question by entering your answers in the tabs below. Required 1 Required 2 Use this information to allocate eac
Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a summary table that reports
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Answer #1
Supervisor's exepnses Allocation basis Percentage of allocation basis Cost to be allocated Allocated cost
Department No of Employees Numerator Denominator % of Total 84,500
Materials 40 40 200 20 16,900
Personnel 10 10 200 5 4,225
Manufacturing 84 84 200 42 35,490
Packaging 66 66 200 33 27,885
TOTAL 200 100 84,500
UTILITIES Allocation basis Percentage of allocation basis Cost to be allocated Allocated cost
Department Square feet Occupied Numerator Denominator % of Total 70000
Materials 39000 39000 195000 20 14,000
Personnel 19500 19500 195000 10 7,000
Manufacturing 107250 107250 195000 55 38,500
Packaging 29250 29250 195000 15 10,500
TOTAL 195000 100 70,000
Insurance Allocation basis Percentage of allocation basis Cost to be allocated Allocated cost
Department Value of Assets in use Numerator Denominator % of Total 32500
Materials 12000 12000 80000 15 4,875
Personnel 1600 1600 80000 2 650
Manufacturing 47200 47200 80000 59 19,175
Packaging 19200 19200 80000 24 7,800
TOTAL 80000 100 32,500
Supervision Utilities Insurance Total
in $ in $ in $ in $
Materials 16,900 14,000 4,875 35,775
Personnel 4,225 7,000 650 11,875
Manufacturing 35,490 38,500 19,175 93,165
Packaging 27,885 10,500 7,800 46,185
TOTAL 84,500 70,000 32,500 187,000
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