JKL Mfg. cans food products. JKL has 2 production departments (Canning and Labelling) and 2 service departments (Maintenance and Cleaning). Maintenance costs are allocated based on machine hours used. Cleaning costs are allocated based on square feet of floor space. JKL also allocates depreciation on the factory equipment to all departments on the basis of number of employee positions in the department. The following data is available for JKL:
How much in total costs should be allocated to the Labelling department? (Round to the nearest dollar.)

Question

JKL Mfg. cans food products. JKL has 2 production departments (Canning and Labelling) and 2 service departments (Maintenance and Cleaning). Maintenance costs are allocated based on machine hours used. Cleaning costs are allocated based on square feet of floor space. JKL also allocates depreciation on the factory equipment to all departments on the basis of number of employee positions in the department. The following data is available for JKL:
  How much in total costs should be allocated to the Labelling department? (Round to the nearest dollar.)

Quizplus · Accepted Answer

The Answer of JKL Mfg. cans food products. JKL has 2 production departments (Canning and Labelling) and 2 service departments (Maintenance and Cleaning). Maintenance costs are allocated based on machine hours used. Cleaning costs are allocated based on square feet of floor space. JKL also allocates depreciation on the factory equipment to all departments on the basis of number of employee positions in the department. The following data is available for JKL:
  How much in total costs should be allocated to the Labelling department? (Round to the nearest dollar.)

JKL Mfg Cans Food Products