Accounting Homework Help

[Additional Information: _| : Repair + Chemical HQ HR Building 5 Overhaul Manufacturing Treating Direct Labour (hours) 0 0 0' 225,000 23?,422 0 Processing Time (hours) 0 0 0: 0 0 1,820 Headcount (employees) 8 ? 15 180 350 3 Floorspace (square feet) 3,005 2,200 19,600 540,000 380,000 28,483 _Overhead Costs (in $) 4,901,398 ??T,199 9,198,554 18,1?9,253 33,923,388 845,325 Kay and Dee Manufactlm'ng {K+D) has three business lines: Repair and Overhead (R+O): Repair of truck transmtissions. Manufacturing: manufacturing of custom truck transmission parts Chemical Treating: cleaning of old parts They also have three support departments. Major activities of each department are: Human Resources (HR): Payroll, HR staff, employee services, UnionfManagement relations. Costs for this service department are allocated based on Headcount. Facility: buildings, building maintenance and related building costs. Costs for this service department are allocated based on area occupied. Main Ofce (HQ): salaries for the President, VP, and Finance department. Costs for this service departlent are allocated based on Direct Labour hours. Other nancial information is in Appendix A. REQUIRED: 1. Briey comnlent on the cost drivers for the support departments. (ie. Do you think they are appropriate, or can you recommend something better?) Using the Direct Method, allocate overhead costs from the support departments to the business lines. Using the Step-down method, allocate overhead costs from the support departments to the business lines. 1St Building 2mi HR 3rd HQ Using the Reciprocal Method, allocate overhead costs from the support departments to the business lines