: 9.74 of 30 pts 110f 4 (4 complete HW Score: 79 74%, 7974 of 100 115-2 (similar

Question

: 9.74 of 30 pts 110f 4 (4 complete HW Score: 79 74%, 7974 of 100 115-2 (similar to) Question Help Tours prov of the tour ation Tech Click the ic Data Table -X rld tours inistration Support Departments Operating Departments the zequire Information DomesticWorld Administration Technology gyTours ill Tours Total t are the tot nology haveBudgeted overhead costs before any mation earest interdepartment cost allocations s ct Method Support work furnished geted overth before interd cation of Ad by Administration Budgeted administration salaries Percentage -S 80.000$ 50.000 $ 70.000 $ 200.000 25% 40% 35% 100% cation of Infby Information Technology 800 $4.000 20% 400 S2.800 $ Budgeted IT service hours Percentage al budgeted 100% | rmation 10% at are the to hnology have ut in the cell cating costs mount you nts by Print Done oose from any drop-down list and then click Check Answer Check Answer Clear All parts

Explanation / Answer

Direct Method SUPPORT DEPARTMENTS OPERATING DEPARTMENTS Administration Information Technology Domestic Tours World Tours Total Overhead costs before allocation 400000 300000 1350000 1860000 3910000 Support work by: Administration -400000 166667 233333 400000 Support work by: Information Technology -300000 233333 66667 300000 Total costs 0 0 1750000 2160000 Note: Domestic tours: $400000 x 50000/(50000+70000) World tours: $400000 x 70000/(50000+70000) Domestic tours: $300000 x 2800/(2800+800) World tours: $300000 x 800/(2800+800) Step Down Method (Administrative First) SUPPORT DEPARTMENTS OPERATING DEPARTMENTS Administration Information Technology Domestic Tours World Tours Total Overhead costs before allocation 400000 300000 1350000 1860000 3910000 Support work by: Administration -400000 160000 100000 140000 0 Subtotal 0 460000 1450000 2000000 Support work by: Information Technology -460000 357778 102222 0 Total costs 0 0 1807778 2102222 Note: Domestic tours: $400000 x 25% World tours: $400000 x 35% Information Technology: $400000 x 40% Domestic tours: $460000 x 2800/(2800+800) World tours: $460000 x 800/(2800+800) Step Down Method (IT First) SUPPORT DEPARTMENTS OPERATING DEPARTMENTS Administration Information Technology Domestic Tours World Tours Total Overhead costs before allocation 400000 300000 1350000 1860000 3910000 Support work by: Administration 30000 -300000 210000 60000 0 Subtotal 430000 0 1560000 1920000 Support work by: Information Technology -430000 334444 95556 0 Total costs 0 0 1894444 2015556 Note: Domestic tours: $300000 x 70% World tours: $300000 x 20% Administration: $300000 x 10% Domestic tours: $430000 x 2800/(2800+800) World tours: $430000 x 800/(2800+800)

Related Questions

Navigate

• Browse (All)
• Browse #
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.