University of Mississippi ACCY ACCY 202 Mervon Company has two operating departments: mixing and bottling. Mixing has 300 employees and occupies 22,000 square feet. Bottling has 200…
Mixing has 300 employees and occupies 22,000 square feet. Bottling has 200 employees and occupies 18,000 square feet. Indirect factory costs for the current period follow: administrative, $160,000; and maintenance, $200,000. If the maintenance costs are allocated to operating departments based on square footage, determine the amount of maintenance costs allocated to each operating department.
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