Alleghany Community College operates four departments. The square footage used by each department is shown below. $\begin{array}{lc}
\text { Department }&\text {Square Footage }\
\text { Accounting } & 7,000 \
\text { Marketing } & 8,000 \
\text { Technology } & 10,000 \
\text { Sciences } & \underline{7,000}\
\text { Total }& \underline{32,000}
\end{array}$ Alleghany's annual building rental cost is $220,000.
What amount of rent expense should be allocated to the Technology Department? (Do not round intermediate calculations.)
A) $48,125
B) $55,000
C) $68,750
D) $220,000

Question

Alleghany Community College operates four departments. The square footage used by each department is shown below. $\begin{array}{lc}
\text { Department }&\text {Square Footage }\
\text { Accounting } & 7,000 \
\text { Marketing } & 8,000 \
\text { Technology } & 10,000 \
\text { Sciences } &  \underline{7,000}\
\text { Total }& \underline{32,000}
\end{array}$ Alleghany's annual building rental cost is $220,000.
What amount of rent expense should be allocated to the Technology Department? (Do not round intermediate calculations.)
A) $48,125
B) $55,000
C) $68,750
D) $220,000

Quizplus · Accepted Answer

The Technology Department occupies 25,000/100,000 or 25% of the total square footage. Therefore, it should be allocated 25% of the total rental cost, which is $220,000. 
25% of $220,000 = $55,000 
Therefore, the rent expense allocated to the Technology Department should be $55,000.

Alleghany Community College Operates Four Departments Alleghany's Annual Building Rental Cost Is $220,000