eBook Calculator 2. Allocate the support service costs to the operating divisions. Round all amounts to the nearest dollar. Use a minus sign to indicate boxes in which no entry is required, leave the box blank or enter zero (""). Support Departments Operating Divisions Small Motors Power General Factory Battery Direct costs $ 160,000 430,000 163,000 84,600 Allocate: Power -160,000 -430,000 General o Factory Total 3. Assume divisional overhead rates are based on direct labor hours. Calculate the overhead rate for the Battery Division and for Round overhead rates to the nearest cent. Battery overhead rate Small Motors overhead rate eBook Calculator (Appendix 4B) Sequential Method of Support Department Cost Allocation Stevenson Company is divided into two operating divisions: Battery and Small Motors. The company a operating division using the sequential method. General Factory is allocated first in the sequential met allocations using the sequential method are based on the following data: Support Departments Operating Divisions Power General FactoryBattery Small Motors Overhead costs $160,000 $430,000 $163,000 $84,600 Machine hours 2,000 2,000 7,000 1,000 Square footage 1,000 1,500 5,000 15,000 Direct labor hours 18,000 60,000 Required: 1. Calculate the allocation ratios for Power and General Factory. (Note: Carry these calculations out Allocation ratios for General Factory Power 0.0476