Solved

Tri-Cities Savings and Loan
Tri-Cities Savings and Loan Has Three

Question 170

Essay

Tri-Cities Savings and Loan
Tri-Cities Savings and Loan has three departments that generate revenue: loans,checking accounts,and savings accounts.Tri-Cities Savings and Loan has two service departments: Administration/Personnel and Maintenance.The service departments provide service in the order of their listing.The following information is available for direct costs.Administration/ Personnel costs are best allocated based on number of employees while Maintenance costs are best allocated based on square footage occupied.
 Depaitment  Direct costs  Enployees  Footage  Admin / Pers. $530,0001030,000 Maintenance 450,000816,500 Loans 900,0001545,000 Checking 600,000610,000 Saving 240,500542,000\begin{array}{llcc}\underline{\text { Depaitment }} &\underline{ \text { Direct costs }} &\underline{\text { Enployees } }&\underline{\text { Footage } } \\\text { Admin } / \text { Pers. } & \$ 530,000 & 10 & 30,000 \\\text { Maintenance } & 450,000 & 8 & 16,500 \\\text { Loans } & 900,000 & 15 & 45,000 \\\text { Checking } & 600,000 & 6 & 10,000\\\text { Saving } & 240,500 & 5 & 42,000\end{array}
Refer to Tri-Cities Savings and Loan.Using the step method,compute the amount allocated to each department from Maintenance.

Correct Answer:

verifed

Verified

Refer to Tri-Cities Savings and Loan.Usi...

View Answer

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents