1-books, an online book retailer, has two operating divisionscorporate sales and consumer salesand two support divisionshuman resources and information systems. Each sales division conducts merchandising and marketing operations independently. l-books uses number of employees to allocate human resources costs and processing time to allocate information systems costs. The following data are available for September. (Click the icon to view the data.) Required Requirement 1. Allocate the support divisions' costs to the operating divisions using the direct method. (Remember to round to seven decimals when calculating your percentages. Round your final answers to the nearest whole dollar. Use parentheses or a minus sign when decreasing divisions by allocating costs. Complete all answer boxes. For amounts with a $0 balance, make sure to enter "0" in the appropriate field.) Support Divisions Human Information Resources Systems 73000 236000 Operating Divisions Corporate Consumer Sales Sales Total Costs incurred 993000 487000 Allocation of human resources costs -73000 Allocation of information systems costs Total budgeted costs of operating divisions 1 - Data Support Divisions Human Information Resources Systems Operating Divisions Corporate Consumer Sales Sales $ 73,000 $ 236,000 $ 993,000 $ 487,000 Budgeted costs incurred before any interdivision cost allocations Support work supplied by human resources division Budgeted number of employees Support work supplied by information systems division Budgeted processing time (in minutes) 22 42 28 300 1,900 1,600 - Required 1. Allocate the support divisions' costs to the operating divisions using the direct method. 2. Rank the support divisions based on the percentage of their services provided to other support divisions. Use this ranking to allocate the support divisions' costs to the operating divisions based on the step-down method. 3. How could you ha ranked the support divisions differently? l-books, an online book retailer, has two operating divisions-corporate sales and consumer salesand two support divisionshuman resources and information systems. Each sales division conducts merchandising and marketing operations independently. T-books uses number of employees to allocate human resources costs and processing time to allocate information systems costs. The following data are available for September. (Click the icon to view the data.) Required Requirement 1. Allocate the support divisions' costs to the operating divisions using the direct method. (Remember to round to seven decimals when calculating your percentages. Round your final answers to the nearest whole dollar. Use parentheses or a minus sign when decreasing divisions by allocating costs. Complete all answer boxes. For amounts with a $0 balance, make sure to enter "0" in the appropriate field.) Support Divisions Human Information Resources Systems 73000 236000 -73000 Operating Divisions Corporate Consumer Sales Sales 993000 487000 Total Data Costs incurred Allocation of human resources costs Allocation of information systems costs Support Divisions Human Information Resources Systems Operating Divisions Corporate Consumer Sales Sales Total budgeted costs of operating divisions Budgeted costs incurred before any $ interdivision cost allocations 73,000 $ 236,000 $ 993,000 $ 487,000 1 Required Support work supplied by human resources division 22 42 28 Budgeted number of employees Support work supplied by information 1. Allocate the support divisions' costs to the operating divisions using the direct method. 2. Rank the support divisions based on the percentage of their services provided to other support divisions. Use this ranking to allocate the support divisions' costs to the operating divisions based on the step-down method. 3. How could you have ranked the support divisions differently? systems division Budgeted processing time (in minutes) 300 - 1,900 1,600 |