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During the past month, the following costs were incurred in the three production departments and two service departments of Kim & Co.: Supplying Department Administration
During the past month, the following costs were incurred in the three production departments and two service departments of Kim & Co.: Supplying Department Administration Factory support Direct cost Required: Using Department Administration Factory Support 0.40 0.10 $640,000 $1,330,000 Fabrication 0.30 0.20 Assembly 0.20 $1,720,000 0.20 $284,000 Finishing 0.10 0.50 $254,000 Allocate service department costs to Fabrication, Assembly, and Finishing using the reciprocal method, and determine the total costs of Fabrication, Assembly, and Finishing after this allocation. (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations. Round your final answers to the nearest whole dollar amounts.) From: Administration Factory Support Cost Allocation To: Fabrication Assembly Finishing Service department costs Administration Factory support Total allocations Direct costs Total costs
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