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Algebraic method The following chart indicates the percentage of support department services used by other departments. Service departments are designated S1, S2, and S3; operating
Algebraic method The following chart indicates the percentage of support department services used by other departments. Service departments are designated S1, S2, and S3; operating departments are designated RP1 and RP2. Department St $2 Services Used 53 ST N/A 10% 52 40% N/A 20 30 N/A RP1 RP2 20% 30% 40% 30 20 10 40 10 53 Direct costs of the period were $408,000, $864,000, and $1,440,000 for S1, S2, and S3, respectively. Allocate the support department costs to the operating departments using the algebraic method. Note: Do not round proportions in your calculations; round your final answer to the nearest whole dollar. Note: Round your final answers below to the nearest 100; for example, round 8,668 to 8,700. RP1 S 1.707,034 x RIP2 1,014.647 x Total S 0x
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