Craylon Corp has two service departments, S1 and S2, and two production departments, P1 and P2.

The data for April were as follows:

		Services provided to:
Activity	Costs	S1	S2	P1	P2
S1	$100,000		20%	40%	50%
S2	$80,000	10%		55%	25%
	Fixed Costs
P1	$400,000
P2	$500,000

Required:

Allocate the service departments' (S1 & S2) costs to the two operating divisions using the reciprocal method.