Boulay Corporation has two operating divisions-a North Division and a South Divi

Question

Boulay Corporation has two operating divisions-a North Division and a South Division. The company%u2019s Logistics Department services both divisions. The variable costs of the Logistics Department are budgeted at $34.3 per shipment. The Logistics Department%u2019s fixed costs are budgeted at $174,000 for the year. The fixed costs of the Logistics Department are determined based on peak-period demand.

At the end of the year, actual Logistics Department variable costs totaled $140,751 and fixed costs totaled $188,210. The North Division had a total of 2,010 shipments and the South Division had a total of 2,000 shipments for the year.

Calculate the amount of Logistics Department%u2019s costs that should be charged to each of the operating divisions at the end of the year. (Omit the "$" sign in your response.)

How much of the actual Logistics Department costs should not be charged to the operating divisions at the end of the year? (Omit the "$" sign in your response.)

Boulay Corporation has two operating divisions-a North Division and a South Division. The company%u2019s Logistics Department services both divisions. The variable costs of the Logistics Department are budgeted at $34.3 per shipment. The Logistics Department%u2019s fixed costs are budgeted at $174,000 for the year. The fixed costs of the Logistics Department are determined based on peak-period demand.

Explanation / Answer

North south total

total cost 102503 185030 287533

b.total uncharged cost= variale fixed

27218 14210

Related Questions

Navigate

• Browse (All)
• Browse B
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.