7-29. Departmental Cost Allocation: Robinson Products Company has two service department (S1 and S2) and two productions departments (P1 and P2). The distribution of each service departments efforts (in percentages) to the other department is:

The direct operating costs of the departments (including both variable and fixed costs) are:

1. Determine the total cost of P1 and P2 using the direct method. (show calculations for each one)
2. Determine the total cost of P1 and P2 using the step method.
3. Determine the total cost of P1 and P2 using the reciprocal method.

To S2 From S1 S2 S1 P1 P2 7% 30 10% 20% 10% S1 S2 P1 P2 180,000.00 60,000.00 50,000.00 120,000.00