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Barstow Manufacturing Company has two service departments product design and engineering support, and two production departments assembly and finishing. The distribution of each service department's
| Barstow Manufacturing Company has two service departments product design and engineering support, and two production departments assembly and finishing. The distribution of each service department's efforts to the other departments is shown below: | ||||||||||||||||||||||
| FROM | TO | |||||||||||||||||||||
| Design | Support | Assembly | Finishing | |||||||||||||||||||
| Design | 0% | 10% | 40% | 50% | ||||||||||||||||||
| Support | 20% | 0% | 55% | 25% | ||||||||||||||||||
| The direct operating costs of the departments (including both variable and fixed costs) were as follows: | ||||||||||||||||||||||
| Design | $170,390 | |||||||||||||||||||||
| Engineering Support | $168,610 | |||||||||||||||||||||
| Assembly | $666,000 | |||||||||||||||||||||
| Finishing | $1,027,000 | |||||||||||||||||||||
| The total cost accumulated in the finishing department using the reciprocal method is: | ||||||||||||||||||||||
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