Instructions: Attached are the self-checking spreadsheets you will need to complete part of the assignment for this Topic. Complete all questions in assignment section of Module. Assignments can be...

Solution to Module 5
Solution 4
Date xx/xx/xxx
To Deputy County Manager
From
Subject: Explaining about differences among the models used in cost allocation and the most appropriate method of allocation.
    Table Showing allocation of cost on the basis of different cost allocation models
    Departments
    Basis of allocation (FTEs)
    Basis of allocation (Expenditure)
    Basis of allocation (Time Tracking information)
    Transportation
     1,461,236.93
     1,561,049.46
     1,198,750.00
    Facilities
     797,038.33
     1,183,553.69
     1,239,000.00
    Solid Waste
     127,526.13
     364,097.73
     858,500.00
    Storm water Control
     2,189,198.61
     1,466,299.11
     1,278,750.00
    Total
     4,575,000.00
     4,575,000.00
     4,575,000.00
In the Ash county there are three service departments which include Department of deputy country manager, human resources, information technology and four functional department includes Transportation, Facilities, Solid Waste and Storm water Control. The cost of these department form part of the overheads of the organization as a whole and will be allocated to the functional department on the basis of different cost allocation method like on the basis of FTEs, expenditure and time tracking information. Different methods used in allocation provide different expense allocation to the functional department.
The allocation of overhead cost on the basis of FTEs , allocate the overheads highest to the functional department who employed the highest FTEs among them and this is not the correct basis of cost allocation of service department where FTEs has no role. The allocation of the overhead cost on the basis of expenditure of various functional department again it make the highest allocated cost to the functional department who had done more expenditure in its department as compare not the other department and hence not an appropriate cost allocation method. The most appropriate method of allocation of cost is time tracking information because the service department costs are majorly associated with the time devoted to the different activities of service department and hence it is the most appropriate method of cost allocation of service department.
Solution to Module 7
Solution 1
Nominal...