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24,500 (245,000) 4,900 (4.900) (24.500) 490 176,400 11,760 3,528 44,100 7,840 882 First allocation of Info. Systems costs Second allocation of HR costs Second allocation

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24,500 (245,000) 4,900 (4.900) (24.500) 490 176,400 11,760 3,528 44,100 7,840 882 First allocation of Info. Systems costs Second allocation of HR costs Second allocation of Info. Systems costs Third allocation of HR costs Third allocation of Info. Systems costs Fourth allocation of HR costs Fourth allocation of Info. Systems costs Total budgeted overhead of operating departments Enter any number in the edit fields and then click Check Answer. Vision Books, an online book retailer, has two operating departments corporate sales and consumer sales and two support departments-human resources and information systems. i More info Each sales department conducts merchandising and marketing operations independently. Vision Books uses number of employees to allocate human resources costs and processing time to allocate information systems costs. The controller of Vision Books reads a widely used textbook that states that "the reciprocal method is conceptually the most defensible." He seeks your assistance. 991,000 $ 36,000 481,000 24,000 Data Table Support Departments Human Information Resources Systems Operating Departments Corporate Consumer Sales Sales $ 75,000 $ 230,000 $ 991,000 $ 481,000 Budgeted costs incurred before any interdepartment cost allocations Support work supplied by human resources department Budgeted number of employees Support work supplied by information systems department Budgeted processing time (in minutes) 2560 375 2,700 675 Print Done i Direct allocation data HR Costs incurred Allocation of HR costs Allocation of Info. Systems costs Total budgeted costs of operating departments Support Departments Operating Departments Info. Systems Corporate Consumer Total 75,000 $ 230,000 $ 991,000 $ 481,000 $ 1,777,000 (75,000) 45,000 30,000 (230,000) 184,000 46,000 0 $ 1.220,000 $ 557,000 $ 1.777,000 Step-down allocation data HR Support Departments Operating Departments Info. Systems Corporate Consumer Total Costs incurred 75,000 $ 230,000 $ 991.000 $ 481.000 $ 1.777.000 (75.000) 15.000 Allocation of HR costs 36,000 24,000 245.000 (245,000) 196,000 49,000 Allocation of Info. Systems costs 1.223,000 $ 554,000 5 1,777,000 Total budgeted costs of operating departments *Proportions for services provided to other support departments: human resources (HR) 0.20000: information sytems (15) 0.10000

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