A company produces a single product in three sizes A, B and C. Prepare a statement showing the selling and distribution expenses apportioned over the three sizes applying the appropriate basis for such apportionment in each case from the particulars indicated. Express the total of the cost so apportioned to each size as:
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data available to three sizes are as follows 618490
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Amount |
Basis of |
|
apportionment |
||
|
Sales salaries |
10,000 |
Direct charge |
|
Sales commission |
6,000 |
Sales turnover |
|
Sales office expenses |
2,096 |
Number of orders |
|
Advertising: General |
5,000 |
Sales turnover |
|
Advertising: Specific |
22,000 |
Direct charge |
|
Packing |
3,000 |
Total volume in cubic foot of products sold |
|
Delivery expenses |
4,000 |
Total volume in cubicfoot of products sold |
|
Warehouse expenses |
1,000 |
|
|
Credit collection |
1,296 |
Number of orders |
|
expenses |
54,397 |
Data available to three sizes are as follows:
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