Comprehensive support department allocations Management at C. Pier Press has decided to allocate costs of the paper's two support departments (administration and human resources) to the two revenue generating departments (advertising and circulation). Administration costs are to be allocated on the basis of dollars of assets employed; human resources costs are to be allocated on the basis of number of employees. The following costs and allocation bases are available: 4 3 5 Department Direct Costs Number of Employees Assets Employed Administration $312,600 $154,840 Human resources 197,080 116.680 Advertising 383,120 304,960 Circulation 541,040 10 748,120 Totals $1,433,840 22 $1,324,600 a. Using the direct method, allocate the support department costs to the revenue-generating departments, Note: Round percentages in your calculation to the nearest whole percent (for example, round 34.5% to 35%), Note: Round your final answer to the nearest whole dollar. Amount allocated to Advertising: $ 0 Amount allocated to Circulation: $ 0 b. Using your answer to (a), what are the total costs of the revenue-generating departments after the allocations? 1 Advertising total costs $0 b. Using your answer to (a), what are the total costs of the revenue generating departments after the allocations? Advertising total costs $ 0 Circulation total costs $0 C. Assuming that the benefits provided ranking is the order shown in the table, use the step method to allocate the support department costs to the revenue generating departments. Note: Round your final answers only to the nearest whole dollar. Amount allocated to Advertising: $ 0 Amount allocated to Circulation: $ 0 d. Using your answer to (c), what are the total costs of the revenue-generating departments after the allocations? Advertising total costs $ 0 Circulation total costs $ 0 e. Using the algebraic method, allocate the support department costs to the revenue-generating departmer Note: Round percentages in your calculation to the nearest whole percent (for example, round 34.5% to 35 Note: Round your final answer to the nearest whole dollar. Amount allocated to Advertising: $ 0 e. Using the algebraic method, allocate the support department costs to the revenue generating Note: Round percentages in your calculation to the nearest whole percent (for example, round 34.5% to 35%). Note: Round your final answer to the nearest whole dollar Amount allocated to Advertising: $ 0 Amount allocated to Circulation: $ 0 1. Using your answer to (e), what are the total costs of the revenue-generating departments after the allocations? Advertising total costs $ 0 Circulation total costs $ 0
