Everything is correct. Im not sure if the 12,349 figure is correct and I please

Question

Everything is correct. Im not sure if the 12,349 figure is correct and I please need help with the six remaining blank boxes.

Problem 4B-6 Step-Down Method versus Direct Method; Predetermined Overhead Rates [LO4-10, LO4- The Sendal Co., Ltd., of Japan has budgeted costs In its varlous departments as follows for the coming year: Factory Administration Custodial Services Personnel Maintenance Machining-overhead Assembly-overhead Total cost 685,538 160,344 $4,799 99,237 891,776 480,814 $2,292,588 The company allocates service department costs to other departments In the order listed below Square Total Feet of Direct Number of Labor Space Labor- Machine Employees Hours Occupied Hours Hours Factory Administration Custodial Services 25 14 18 53 72 108 14, see 18,308 8,308 14,888 11,188 44,488 15,68e Maintenance Machining Assembly 188,808 75,80 132,808 186,888 15e,888 25,808 187,808 31,808 e8 217,8e8 18,7e8 149,see Machining and Assembly are operating departments, the other departments are service departments. Factory Administration Is allocated based on labor-hours, Custodial Services based on square feet occupled, Personnel based on number of employees; and Maintenance based on machine hours.

Explanation / Answer

12, 349 is not correct.

Calculations

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Factory Administration Custodial services Perosnnel Maintainance Machining Assembly Departmental Cost Before Allocation $            605,530 $        160,344 $          54,799 $               99,237 $          891,776 $          480,814 Allocations: Factory Administration
(605530/318700 = 1.90 per Hour) $          (605,530) $          19,570 $          26,600 $               84,360 $          190,000 $          285,000 Custodial services
(( 179,914 / (149500-14500-8300)= 1.42 Sq Ft.) $      (179,914) $          15,762 $               22,152 $          106,500 $             35,500 Personnel
(97161/(290-25-14-18)= 417 per Employee) $        (97,161) $               22,101 $             30,024 $             45,036 Maintainance
(227850 / 217000 = 1.05 per Hour) $          (227,850) $          195,300 $             32,550 Total Cost after Allocation $                        -   $                    -   $                   -   $                        -   $       1,413,600 $          878,900 Divide by Machine Hours               186,000 Divide by Labour Hours               187,000 Overhead Rate $                 7.60 $                 4.70

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