Question
During the past month, the following costs were incurred in the three production departments and two service departments of K &Co.: using department using department
During the past month, the following costs were incurred in the three production departments and two service departments of K &Co.:
| using department | using department | using department | using department | using department |
supplying department | administration | facotry support | fabrication | assembly | finishing |
administration | - | 0.30 | 0.20 | 0.10 | 0.40 |
factory support | 0.15 | - | 0.25 | 0.10 | 0.50 |
direct cost | $490,000 | $1,255,000 | $1,570,000 | $269,000 | $239,000 |
Required:
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.)
please answer in the format of photo and post explanation.
es Cost Allocation To: From: Administration Factory Support Fabrication Assembly Finishing Service department costs Administration Factory support Total allocations $ 0 $ 0 $ 0 $ 0 $ 0 Direct costs Total costs S 0 $ 0 $ 0 $ 0 $ 0
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