Time Spent Allocation Example

Time Spent Allocation Example

Example
Item	Production Department	Services Department
Manager Spent Hours	120.00	30.00
Rate of Pay $ 100/Hr
Solution
Items	Total	Bases	Production Department	Services Department
Supervision Cost	15,000	Time Spent	12,000	3,000

Usage Based Cost Allocation Example

Usage Based Cost Allocation Example

Example
Item	Machine Department	Maintenance Department
Fuel Consumption (Liters)	10000	2000
Rate of Fuel $ 10
Solution
Items	Total	Bases	Machine Department	Maintenance Department
Fuel	120,000	Actual	100,000	20,000