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Essay specific features
Written by:
Terry W
Date added:
July 22, 2012
Level:
University
Grade:
A
No of pages / words:
2 / 496
Was viewed:
384 times
Rating of current essay:
Essay content:
Ignore consideration of excess capacity discussed in question 3 below for this answer. Please discuss any additional information that you feel is needed.
No, I would not recommend TRU continue to allocate the building-related costs only to the preschool program because it is not an accurate way to compute the actual costs for Birthday Party product...
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I would suggest TRU to use the activity based costing allocation method. To use this method, I would need additional information on: exact labor hours spent both on preschool class and birthday party, and the exact number of children who are attending preschool program and the birthday party.
3. Do you agree with TRU’s allocation method for salaries, supplies, and food? Why or why not? Be specific about any alternative allocation methods that you would consider
I agree with TRU’s allocation method for salaries, supplies, and food because it splits the cost of labor and supply for both preschool program and birthday party...
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