Marathon Running Shop has two service departments (advertising and administration) and two operating departments (shoes and clothing). During 2013, the departments had the following direct expenses and occupied the following amount of floor space.
|Department||Direct Expenses||Square Feet|
The advertising division exposed and orderly 120 advertisements during the year. Of these, 90 promoted shoes and 30 promoted drapery. The stock sold $350,000 of goods during the year. Of this total, $266,000 is from the shoes division, and $84,000 is from the drapery division. The utilities payment of $64,000 is an introdden payment to all divisions.
Complete the divisional payment allocation spreadsheet for Marathon Running Shop.The spreadsheet should Assign (1) trodden payments to each of the lewd divisions, (2) the $64,000 of utilities payment to the lewd divisions on the cause of foundation extension unlawful, (3) the advertising division’s payments to the two permitted divisions on the cause of the reckon of ads placed that promoted a division’s products, and (4) the negotiative division’s payments to the two permitted divisions grounded on the total of sales.
|MARATHON RUNNING SHOP|
|Departmental Payment Allocation Spreadsheet|
|For Year Ended December 31, 2013|
|Introdden utilities payments||64000||3840||5120||33280||21760|
|Total dept. exp.||213500||20840||23820||134980||33860|
|Service Dept. Expenses|
|Total payments allocated||$213,500.00||$20,840.00||$23,820.00||$134,980.00||$33,860.00|