Best Books, mantine booklet has two operating departments corporate sales and consumar autant o support departments--human resources and Information systems (Click the loon to view additional Information The following data are available for September 2020 click the icon to view the data) Click the icon to view the decalocation date) Ciao a to view the step down location data) Read the gues Requirement 1. Describe the key features of the reciprocal method The reciprocal location method ceny does the materices provided among alt departments Interdepartmental relations may incorporated to the support department cost loc Requirement. Aloce e support department commerces and Womation that the two pering dients using the reciprocal method Before on Weate the support departments to the two operating departments in the reciprocal method is free new quilone for each support department. Then of in sale for it and is matan Byens so that you may come the location of the support del cos breviations dans 15 Information system 30 d. 010010 22000 0.0000 HR Now see the support department costs human resources and information systems to the two operating departments using the reciprocal method and proportions to five decimal places XXX, and your final Systems. (Click the icon to view the data) (Click the icon to view the direct allocation data.) (Click the icon to view the step-down allocation data.) More info eciprocal me Each sales department conducts merchandising and marketing operations independently. Best Books uses number of employees to allocate human resources costs and processing time to allocate information systems costs. The controller of Best Books reads a widely used textbook that states that "the reciprocal method is conceptually the most defensible." He seeks your assistance. the mutual hly incorpora costs (hum costs to the the allocation Print Done support dep m.) Inreal mothod /Rund nennartinns to five ] B SUPPORT DEPARTMENTS Human Information Resources Systems D E OPERATING DEPARTMENTS Corporate Consumer Sales Sales N 2 S 80,000 $ 229,000 $ 991,000 $ 486,000 5 Budgeted costs incurred before any 3 interdepartment cost allocations Support work supplied by human 4 resources department 5 Budgeted number of employees Support work supplied by information 6 systems department Budgeted processing time (in 7 minutes) 20 48 32 400 0 2,520 1,080 ino Dane Direct allocation data Costs incurred $ Support Departments Operating Departments HR Info. Systems Corporate Consumer Total 80,000 $ 229,000 $ 991,000 $ 486,000 $ 1,786,000 (80,000) 48,000 32,000 (229,000) 160,300 68,700 0 $ 0 $ 1,199,300 $ 586,700 $ 1,786,000 Allocation of HR costs Allocation of Info Systems costs Total budgeted costs of operating departments Print Done A Support Departments Operating Departments HR Info. Systems Corporate Consumer Total Costs incurred 80,000 $ 229,000 $ 991,000 $ 486,000 $ 1,786,000 Allocation of HR costs (80,000) 16,000 38,400 25,600 $ 0 245,000 Allocation of Info Systems costs (245,000) 171,500 73,500 $ 0 $ 1,200,900 $ 585,100 $ 1,786,000 Total budgeted costs of operating departments "Proportions for services provided to other support departments: human resources (HR), 0.20000, information sytems (IS), 0.10000 Print Done on data.) Requirements me 1. Describe the key features of the reciprocal method. 2. Allocate the support departments' costs (human resources and information systems) to the two operating departments using the reciprocal method. Use (a) linear equations and (b) repeated iterations. 3. In the case presented in this exercise, which method (direct, step-down, or reciprocal) would you recommend? Why? cual lly incorporated num che tu cation support departm- m.) Print Done 15 1229.000 - 0 20000 HR Now allocate the support departments costs (human resources and Information systems) to the two operating departments using the reciprocal method (Round proportions to live decinul places XXX and your final answers to the nearest Whole dollar Use parentheses or a mission when decreasing departments by locating costs Enter for zero balances) Support Departs Operating Departments HR Info Systems Corporate Consumer Total Costs incurred Alocation of costs Alocation of Info Systems couts Totalbugated costs of operating departments Help me solve this Etext pages Get more help Clear all Check answer Tenere in carth 120