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Accounting Assignment | Custom Assignment Help

Required:

A-       What is the support department’s allocation rate if the estimated activity is the allocation base?

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B         What is the support department’s allocation rate if the actual activity is the allocation base?

C        List one advantages and one disadvantage for each type of allocation rate. (3 points)

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Question no 2 A housekeeping support department budgets its costs at SR40,000 per month plus SR 12 / hour. For January the following are the estimated and actual hours provided by the housekeeping support department to 3 operating departments.Estimated hours spent cleaning Actual hours spent cleaning Department A 1600 1500Department B 1400 1600Department C 2000 1800Total 5000 4900Required: A- What is the support department’s allocation rate if an estimated activity is the allocation base? B What is the support department’s allocation rate if an actual activity is the allocation base?C List one advantages and one disadvantage for each type of allocation rate. (3 points)

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