Business, 30.07.2021 02:20 krystalhurst97
Marks Corporation has two operating departments, Drilling and Grinding, and an office. The three categories of office expenses are allocated to the two departments using different allocation bases. The following information is available for the current period:
Office Expenses Total Allocation Basis
Salaries $30,000 Number of employees
Depreciation 20,500โ Cost of goods sold
Advertising 41,500โ Net sales
Item Drilling Grinding Total
Number of employees 1080โ 1620โ 2700โ
Net sales $326,625โ $477,375โ $804,000โ
Cost of goods sold $76,500โ $127,500โ $204,000โ
The amount of the total office expenses that should be allocated to Grinding for the current period is :
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Marks Corporation has two operating departments, Drilling and Grinding, and an office. The three cat...
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