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7-11, 7-13 Briet Exercises Brief Exercises 7-11 through 7-14 involve departmental cost allocation with two service departments and two production departments. Use the following information
7-11, 7-13 Briet Exercises Brief Exercises 7-11 through 7-14 involve departmental cost allocation with two service departments and two production departments. Use the following information for these four exercisesi Department Service 1 (S1) Service 2 (S2) Production 1 (P1) Production 2 (P2) P2 Percentage Service Provided to S1 S2 P1 30% 35% 35% 20 60 Cost $ 30,000 20,000 100,000 150,000 0% 20 0 [LO 7-3] [LO 7.3] ILO 7-31 7-11 What is the amount of service department cost allocated to Pl and P2 using the direct method? 7-12 What is the total cost in PI and P2 after allocation using the direct method? 7-13 What is the total cost in Pl and P2 and what is the amount of service department cost allocated to P1 and P2 using the step method with Sl going first? 7-14 How does your answer to 7-11 change if the cost in Pl is changed from S100.000 to $120.0007 [LO 7-3]
7-11, 7-13
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