Ready Company has two operating (production) departments: Assembly and Painting. Assembly has 198 employees and occupies 48,000 square feet; Painting has 140 employees and occupies 38,400 square feet. Indirect factory expenses for the current period are as follows:
|
Administration
|
$86,400
|
|
Maintenance
|
$108,000
|
Administration is allocated based on workers in each department; maintenance is allocated based on square footage. The total amount of administration expense that should be allocated to the Assembly Department for the current period is:
Answers:
$50,613.
$60,000.
$111,000.
$118,000.