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olchik [2.2K]
3 years ago
13

Support Department Allocations The centralized computer technology department of Hardy Company has expenses of $327,000. The dep

artment has provided a total of 10,900 hours of service for the period. The Retail Division has used 1,199 hours of computer technology service during the period, and the Commercial Division has used 9,701 hours of computer technology service. How much should each division be allocated for computer technology department services? Do not round interim calculations. Retail Division $ Commercial Division $
Business
1 answer:
Alex73 [517]3 years ago
7 0

Answer:

Retail division = 1199 * 30 = $35,970

Commercial division = 9701 * 30 = $291,030

Explanation:

We assume that the allocation is done by activity basis and thus computer technology department's expenses will be allocated on the total number of service hours used.

The per hour expense = 327,000 / 10,900 = $30/ hour

Costs are allocated as follows,

Retail division = 1199 * 30 = $35,970

Commercial division = 9701 * 30 = $291,030

Hope that helps.

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B. adds up all the income collected by all the sellers.

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3 years ago
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I believe that this problem has the following choices:

 

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> a credit of $1,900 to Cost of Goods Sold.

 

The correct answer from the choices is:

<span>> a credit of $2,500 to Sales
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4 years ago
The meaning of the “To cash (Tax paid)” entry posted in the Provision for taxation account is
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3 years ago
You buy a stock for which you expect to receive an annual dividend of $2.10 for the fifteen years that you plan on holding it. a
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