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Posted by: Homeworkhelp
Price Quoted by Student: $8
Posted On: 2018-02-04 10:10:33
 
Question

Cake Products Inc, is divided into five departments, mixing,

 

P4-5 Cake Products Inc, is divided into five departments, mixing, blending, finishing, factory office and building maintenance. The first three departments are engaged in production work. Factory Office and Building Maintenance are service departments. During the month of June, the following factory overhead was incurred for the various departments:             

 

mixing   $21,000                       factory office $9,000

Blending  $18,000                    building maintenance $6,400

finishing  $25,000 

 

The bases for distributing service department expenses to the other departments follow:

 

Building maintenance - on the basis of floor space occupied by the other departments as follows: mixing 10,000 sqft, blending $4,500 sqft, finishing 10,500 sqft and factory office 7,000 sq ft.

 

Factory office - on the basis of number of employees as follows : mixing 30, blending 20 and finishing 50 Prepare schedules showing the distribution of the service departments expenses for the following:

 

1. The direct distribution method                 

2. The sequential distribution method in the order of number of other departments served.

 

TUTORIAL PREVIEW

 

 

Bldg.

Factory

 

 

 

 

Description

Maint.

Office

Mixing

Blending

Finishing

Total

Total from factory overhead analysis sheets…

     6,400

     9,000

   21,000

   18,000

   25,000

   79,400

 

 

 

 

 

 

 

 

Build. Maint distribution -- (Basis sq. ft. floor

 

 

 

 

 

 

  space)

 

 

 

 

 

 

 

 


Solutions
TUTORIAL PREVIEW     Bldg
Price $8
Attachment 1: P4-5 Cake Products Inc.xls
Solution Posted By: Homeworkhelp    Posted on: 04-02-2018