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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

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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 Proportion of Services Used by Maintenance Cafeteria Machining Assembly Department Machining Assembly Maintenance Cafeteria Direct Costs $ 145,000 73,000 51,000 42,000 0.1 0.6 0.7 0.2 0.2 0.2 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.) Cost Allocation To: Cafeteria Machining Maintenance Assembly From: Service department costs Maintenance Cattoria Total $ OS 0$ 05 0 Blasto, Inc., operates several mines. At one, a typical batch of ore run through the plant yields three products: lead, copper, and manganese. At the split-off point, the intermediate products cannot be sold without further processing. The lead from a typical batch sells for $70,000 after incurring additional processing costs of $22.700. The copper is sold for $121,000 after additional processing costs of $13,500, and the manganese yield sells for $75,000 but requires additional processing costs of $14,800. The joint costs of processing the raw ore, including the cost of mining, are $255,000 per batch. Required: Use the estimated net realizable value method to allocate the joint processing costs. (Do not round intermediate calculations.) Lead Copper Manganese Approximate sales value at split off Percent of total sales values at split-off Cost allocation

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