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Marvin Company has three service departments S1,...




Marvin Company has three service departments S1, S2, and S3 and two production departments, P1 and P2. The following data relate to Marvin?s allocation of service department costs: Budgeted Costs: Number of Employees S1 $4,000,000 80 S2 $3,000,000 60 S3 $2,000,000 30 P1 200 P2 300 Service department costs are allocated by the direct method. The number of employees is used as the allocation base for all service department costs. Required: A) Allocate service department costs to production departments B) Calculate the total service department cost allocated to each production department Attachment has proper table. Thank you!


Paper#4442 | Written in 18-Jul-2015

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