A company identified the following estimated data in its two production departments. During the current month, Assembly used 200
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Answer:
Total cost Groceries department 4,103,238
Total cost Gif department 366,763
Explanation:
Adminstration cost will be distributed among Janitorial, Groceries and Gifs
we add up the employee hours:
350 + 2690 +160 = 3200
Then, we cross multuply:
190,000 x 350/3200 = 20781.25
190,000 x 2690/3200 = 159718.75
190,000 x 160/3200 = 9500
we add them to their cost and then do the same for Janitorial.
9200+ 800 = 10,000
90781.25 x 9200/10000 = 83518.75
90781.25 x 800/10000 = 7262.5
giving the total cost of the operating departments.