Refer to the data given in Exercise 7.27.

The budgeted costs in the two support departments for the year just ended were:
Human Resources......................................$720,000
Computing.............................................1,200,000
Required:
Use the reciprocal services method to allocate the budgeted costs of the Human Resources and Computing Departments to the Deposits and Loans Departments.

Transcribed Image Text:

Provider of service Computing 20% Human Resources User of service Human Resources Computing Deposits 20% 50% 60% 20% 30% Loans