Blueprint Ltd provides management consulting services to government and corporate clients. Blueprint Ltd has two support departmentsAdministrative
Question:
Blueprint Ltd provides management consulting services to government and corporate clients. Blueprint Ltd has two support departmentsAdministrative Services (AS) and Information Systems (IS); and two operating departmentsGovernment Consulting (GOVT) and Corporate Consulting (CORP). For the first quarter of 2018, Blueprint's cost records indicate the following:
Support
Operating
AS
IS
GOVT
CORP
Total
Budgeted overhead
$350 000
$792000
$859 000
$754 000
2755 000
Support work supplied by AS
(budgeted head count)
20 %
32 %
48 %
100 %
Support work supplied by IS (budgeted computer time)
19 %
20 %
61 %
100%
Allocate the two support departments' costs to the two operating departments using the direct method, and enter the amount of total budget overhead costs of Government Consulting (GOVT) after interdepartmental cost allocations in the answer space below