James Madison National Bank has a division for each of the two counties in which it operates, Cayuga and Oneida. Each divisional vice president is held accountable for both profit and invested capital.

Each division consists of two branch banks, East and West. Each branch manager is responsible for that bank’s profit. The Cayuga Division’s East Branch has a Deposit Department, a Loan Department, and an Administrative Services Department. The department supervisors of the Loan and Deposit Departments are accountable for departmental revenues; the Administrative Services Department supervisor is accountable for costs.
All of James Madison National Bank’s advertising and promotion is done centrally. The advertising and promotion cost pool for the year just ended, which amounted to $40,000, is allocated across the four branch banks on the basis of budgeted branch revenue. Budgeted revenue for the year is shown below.

Cayuga Division: West Branch ............................................................................................................. $400,000 East Branch ............................................................................................................... 200,000 Oneida Division: West Branch ............................................................................................................. 250,000 East Branch ............................................................................................................... 150,000 Required:
1. Draw an organization chart for James Madison National Bank that shows each subunit described above, its manager’s title, and its designation as a responsibility center.
2. Distribute (allocate) the bank’s advertising cost pool to the four branch banks.