Direct allocation data Data table E - books, an online book retailer, has two operating departments-corporate sales and consumer sales_and two support departments-human resources and information systems. (Click the icon to view additional information.) Requirements 1. Describe the key features of the reciprocal method. 2. Allocate the support departments' costs (human resources and information systems) to the two operating departments using the reciprocal method. 3. In the case presented in this exercise, which method (direct, step-down, or reciprocal) would you recommend? Why? Requirement 1. Describe the key teatures of the reaprocal method. Which? all support departments The reciprocal allocation method explicitly includes the mutual services provided among [are fully incorporated into the support department cost allocations. the Human Resource deparment Interdepartmental relationships are not the Information Systems department Requirement 2. Allocate the support departments' costs (human resources and information systems) to the two operating departments using the reciprocal method. Before we can allocate the support departments' costs to the two operating departments using the reciprocal method, let's first determine the linear equations for each support department Then off-line solve for HR and IS (Information Systems), so that you may complete the allocation of the support departments' costs. HR= IS= Now allocate the support departments" costs (human resources and information systems) to the two operating departments using the reciprocal method. (Round percentages to three decimal places, X.XXX\%, and your final answers to the nearest whole dollar. Use parentheses or a minus sign when decreasing departments by allocating costs. Complete all answer boxes.) Requirement 3. In the case presented in this exercise, which method (direct, step-down, or reciprocal) would you recommend? Why? direct method Recommendation: The departments. reciprocal method step-dowm method because it is more accurate than the other two methods when there are mutual relationships among support Why would you recommend this method? Step-down allocation data *Proportions for services provided to other support departments: human resources (HR), 0.23077; information sytems (IS), 0.08333