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.) The following data are available for September 2020: (Click the icon to view the data.) (Click the icon to view the direct allocation data.) (Click the icon to view the step-down allocation data.) Read the requirements. Requirement 1. Describe the key features of the reciprocal method. Interdepartmental relationships are fully incorporated into the support department cost allocations. The reciprocal allocation method explicitly includes the mutual services provided among all support departments 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. (Abbreviations used: HR = human resources; IS = information system.) HR= $72,700 + 0.08333 IS IS= $234,400 + 0.23077 HR Now allocate the support departments' costs (human resources and information systems) to the two operating departments using the reciprocal method. (Round proportions to five decimal places, XXXXX, and your final answers to the nearest whole dollar. Use parentheses or a minus sign when decreasing departments by allocating costs. Enter a "0" for zero balances.) Support Deparments Operating Departments HR Info. Systems Corporate Consumer Total Costs incurred 72,700 $ 234,400 $ Allocation of HR costs (94,042) 21,342 Allocation of Info. Systems costs 21,702 (256,102) 43,404 998,270 $ 489,860 $ 1,795,230 28,936 128,051 106,709 0 $ 0 $ 1,169,725 $ 625,505 $1,795,230 Total budgeted costs of operating departments Direct allocation data Costs incurred - Operating Departments Corporate Consumer Total 234,400 $ 998,270 $ 489,860 $ 1,795,230 Support Departments HR Info. Systems $ 72,700 $ (72,700) Allocation of HR costs Allocation of Info. Systems costs (234,400) 43,620 127,853 29,080 106,547 $ 0 $ 0 $ 1,169,743 $ 625,487 $ 1,795,230 Total budgeted costs of operating departments Print Done Step-down allocation data Costs incurred Allocation of HR costs Allocation of Info. Systems costs Total budgeted costs of operating departments Support Departments HR Info. Systems $ 72,700 $ (72,700) Operating Departments Corporate Consumer Total 234,400 $ 998,270 $ 489,860 $ 1,795,230 16,777 33,554 22,369 251,177 (251,177) 137,006 114,173 $ 0 $ 1,168,830 $ 626,402 $ 1,795,230 *Proportions for services provided to other support departments: human resources (HR), 0.23077; information sytems (IS), 0.08333. Print Done