Lucia Company has two service departments: Office and Purchasing. Total expenses for the Office is $ and for Purchasing is $ Expenses for the Office are allocated to operating departments based on sales. Expenses for Purchasing are allocated to operating departments based on purchase orders.
tablePurchaseDepartmentSales,OrdersBooks$MagazinesNewspapersTotal$
Allocate the expenses from a the Office and b Purchasing to each of the company's three operating departments using the given information.
tableOfficeAllocation Base,Percent of Allocation Base,Cost to be Allocated Allocated CostDepartmentNumerator,Denominator, of Total,,BookstableMagazinesNewspaperstableNewspapersTotalsTotalsPurchasingAllocation Base,Percent of Allocation Base,Cost to be Allocated,Allocated CostDepartmenttableNumeratorDenominator, of Total,,BooksMagazinesNewspapersTotals
