Regal Furniture Company Allocates Its Indirect Salaries of $22,500 on the Basis

Essay

Regal Furniture Company allocates its indirect salaries of $22,500 on the basis of sales. Determine the indirect salaries allocated to Departments 1 and 2 using the following information.
$$\begin{array} { l | l | l | l | } & \text { Dept. 1 } & \text { Dept. 2 } & \text { Combined } \\\hline \text { Revenues from sales......... } & \$ 182,000 & \$ 78,000 & \$ 260,000 \\\hline \text { Direct Salaries ................. } & 42,250 & 22,750 & 65,000\end{array}$$ Salaries allocated to Dept. 1 ________
Salaries allocated to Dept. 2 ________