Bred Ltd has two support departments (Cleaning and Information Technology (IT)and two operating departments (Assembly and Finishing). The table below showsthe resource provision by the two support departments to other departments. Thetotal budgeted departmental cost for the Cleaning department is S500,000 and forthe IT department, S200,000. The cost allocation basis for the Cleaningdepartment is floor space (square meters), whereas the allocation basis for the lTdepartment is number of employees. Resourceprovision Support departments Cleaning IT S500000 S200000 Operating departments Assembly Finishing Cleaning square 400 600 1000 900 metres) T (no. of employees 22 2 6 10 Using the step-down method of support cost allocation, what is the amount of ITcost allocated to the Assembly department?

Which service department is most likely to use square feet of floor space occupied as the allocation base to assign its costs to operating departments?Multiple choice question.PersonnelMaintenanceAdvertisingPayroll

The following is a partially completed lower section of a departmental expense allocation spreadsheet for Brickland. It reports the total amounts of direct and indirect expenses for the four departments. Purchasing department expenses are allocated to the operating departments on the basis of purchase orders. Maintenance department expenses are allocated based on square footage. Compute the amount of Maintenance department expense to be allocated to Assembly. Department Direct Expenses Number Purchase Orders Square FeetPurchasing $ 32,000    Maintenance 18,000    Fabrication 96,000 16 3,300Assembly 62,000 4 2,700Multiple Choice$9,000.$9,900.$6,400.$25,600.$8,100.

Personnel expenses would most likely be allocated to operating departments using which allocation base?Multiple choice question.Sales dollars generatedNumber of employeesSquare feet of floor space occupiedPurchase orders processed

Which of the following statements about Doggles Inc.'s allocation of support department costs is likely to be true?1. The support department costs that is allocated to Toys would subsequently be allocated to the units of output produced by Toys.2. The total amount of support department costs that will be allocated to both operating departments is $1,000,000.3. The accuracy of the support department cost allocation to the operating departments will depend solely on the choice between the different support department cost allocation methods (i.e., reciprocal vs step-down vs direct).   Group of answer choicesStatement 1 onlyStatement 2 onlyStatement 3 onlyStatement 1 and 2 onlyStatement 2 and 3 only

Sultana Ltd has two support departments (Quality Control, Repair) and twooperating departments (Machining, Assembly). The table below shows theresource provision by the two support departments to other departments. Thebudgeted departmental cost for Quality Control department is $360,000 and forRepair department, S280,000. The cost allocation basis for Quality Controldepartment is number of employees, whereas the allocation basis for Repairdepartment is the number of machines. Using the direct method of support costallocation, what is the amount of Quality Control cost allocated to the Assemblingdepartment? (Round your final answer to the nearest dollar if required.)Resourceprovision No. of employees No. of machines Support departments QualityControl Repair 2 7 Operating departments Machining Assembly 5 o 10