1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
mihalych1998 [28]
3 years ago
8

A company rents a small building with 10,000 square feet of space for $100,000 per year. The rent is allocated to the company's

three departments on the basis of the value of the space occupied by each. Department 1 occupies 1,500 square feet of ground-floor space, Department 2 occupies 3,500 square feet of ground-floor space, and Department 3 occupies 5,000 square feet of second-floor space. If rent for comparable floor space in the neighborhood averages $15.00 per sq. ft. for ground-floor space and $10 per sq. ft. for second-floor space, what annual rent expense should be charged to each department
Business
1 answer:
nasty-shy [4]3 years ago
5 0

Answer:

department 1: $18,000

department 2: $42,000

department 3: $40,000

Explanation:

total annual rent expense $100,000

total rented space 10,000 sq ft

first we must calculate the rental cost based on comparable floor space:

(1,500 x $15) + (3,500 x $15) + (5,000 x $10) = $22,500 + $52,500 + $50,000 = $125,000

now we allocate costs on the following proportion: $100,000 / $125,000 = 0.8

department        comparable rent        proportional cost         total    

1                              $22,500                      0.8                           $18,000

2                             $52,500                      0.8                          $42,000

<u>3                             $50,000                      0.8                          $40,000</u>

total                       $125,000                                                    $100,000

You might be interested in
How you can predict the way your current health decisions will affect your health in the future?
daser333 [38]
In my case, I know from experience and heredity that for example my father died of a second heart attack at least partly because of his high cholesterol. The high cholesterol was related to his high metabolism so that he ate a lot of eggs and bacon when young so that probably produced a lot of bad cholesterol. Myself I also have a tendency to high cholesterol and was warned by my dad's doctor to watch it so consequently I mostly avoid dairy products and egg yolk and beef (red meat) and am mostly able to control it that way with diet so haven't had a heart attack yet.
7 0
3 years ago
Suppose the European Central Bank (ECB) decides to use monetary policy to offset the possible inflationary effects of European e
Grace [21]

Answer:

the European Central Bank (ECB) should engage in a contractionary monetary policy

Explanation:

A contractionary monetary policy takes place when a central bank (or the Fed) reduces the money supply in order to cool down the economy, lower inflation rate or like in this case, wants to offset expansionary fiscal policy.

The central bank initially raises the interest rates and starts selling more securities in order to absorb cash from the markets.

7 0
3 years ago
Which is the shortest and simplest tax form?
AfilCa [17]

Filling out a tax form is about as much fun as owing taxes to Uncle Sam. The complexity of the task intensifies as your tax life becomes more complicated.

That's why you should use the simplest tax return form you can, especially if you're still filling out your forms by hand.

But choose carefully. There are three personal income tax forms -- 1040, 1040A and 1040EZ -- with each designed to get the appropriate amount of your money to the IRS. Differences in the forms, however, could cost you if you're not paying attention.

The EZ is the shortest and simplest form, Form 1040A is a bit more complex and the long Form 1040 is the most detailed and potentially difficult. But even if your tax life is simple and straightforward, it might be worthwhile to investigate the other two forms. Why? Generally, the longer the form, the more opportunities for tax breaks.

6 0
3 years ago
Kegler Bowling installs automatic scorekeeping equipment with an invoice cost of $190,000. The electrical work required for the
Ulleksa [173]

Answer:

The cost recorded for the equipment=$229,550

Explanation:

The total recorded cost of the automatic equipment has to include the purchase cost and other additional associated costs that come with the equipment. This can be expressed as;

T=P+A

where;

T=total cost

P=purchase cost/invoice cost

A=additional costs(electrical work cost+delivery cost+sales tax+repair cost)

In our case;

T=unknown

P=$190,000

A=(20,000+4,000+13,700+1,850)=$39,550

replacing;

T=190,000+39,550=229,550

The total cost=$229,550

The cost recorded for the equipment=$229,550

7 0
3 years ago
According to the U.S. Small Business Administration (SBA), to officially count as "small," _____.
VashaNatasha [74]

Answer:

Explanation:

im sorry i just need points sorry ask someone else sorry ;)

7 0
4 years ago
Other questions:
  • Washington Company has two divisions: the Adams Division and the Jefferson Division. The following information pertains to last
    5·1 answer
  • For which of the following goods is the income elasticity of demand likely highest?
    7·1 answer
  • A technology company that makes computers for professional use is trying to segment its customers. The company asked some profes
    7·1 answer
  • The following journal entry would be made in a processing costing system when units that have been completed with respect to the
    9·1 answer
  • ____ materials are designed to get you to buy a product or service.
    8·1 answer
  • Shiro enrolled in Composition 101, a three-credit course. If this class meets twice a week, how long should Shiro expect each cl
    11·1 answer
  • To raise operating funds, Signal Aviation sold an airplane on January 1, 2018, to a finance company for $770,000. Signal immedia
    9·1 answer
  • With rapid advancements of science and technology, the emergence of artificial intelligence is transforming traditional practice
    14·1 answer
  • Your company has developed and implemented countermeasures for the greatest risks to their assets. However, there is still some
    13·1 answer
  • During its first year of operations, puffin, incorporated reported sales revenue of $388,200 but only collected $308,000 in cash
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!