Caro Manufacturing has two production departments, Machining and Assembly, and two service departments, Maintenance and Cafeteria. Direct costs for each department and the proportion of service costs used by the various departments for the month of August follow:

Required:

Use the reciprocal method to allocate the service costs. (Matrix algebra is not required.) (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations.)

Department Machining Assembly Maintenance Cafeteria Direct Costs $99,000 64,400 40,000 32,000 Proportion of Services Used by Maintenance Cafeteria Machining 0.5 0.2 0.8 0.1 Assembly 0.3 0.1