Allocating indirect costs: Cost Accounting

| January 30, 2015

1. Compute the costs allocated to cost centers #557, 558,559, 560, and 561 using the new allocation bases shown below. Use a worksheet replicating the setup. Total the new results.

A) Volumes 120,000 70,000 110,000 70,000 500,000 B) Dorect costs $1,100,000 $700,000 $1,300,000 $1,600,000 $6,000,000 C) No.of Films 400,000 20,000 55,000 25,000 525,000

2. Using a worksheet, enter the new direct cost and the new totals for indirect costs resulting from your work. Total the new results.

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