Help with problems for Ch 17 Allocation of Support Activity Costs and Joint Costs.

1.Aurora National Bank has two service departments, the Human Resources (HR) Department and the Computing Department. The bank has two other departments that directly service customers, the Deposit Department and the Loan Department. The usage of the two service departments' output for the year is as follows: Provider of Service Human Resources Human Resources (HR) Computing 20% Deposit 50% Loan 30% User of Service Computing 25% 40% 35% The budgeted costs in the two service departments for the year are as follows: Human Resources Computing $156,000 240,000 Use the direct method to allocate the budgeted costs of the Human Resources and Computing departments to the Deposit and Loan departments. Provider of Service HR Computing Total Deposit Loan 2.Aurora National Bank has two service departments, the Human Resources (HR) Department and the Computing Department. The bank has two other departments that directly service customers, the Deposit Department and the Loan Department. The usage of the two service departments' output for the year is as follows: Provider of Service Human Resources Human Resources (HR) Computing 10% Deposit 70% Loan 20% User of Service Computing 10% 45% 45% The budgeted costs in the two service departments for the year are as follows: Human Resources Computing $ 475,00 0 712,50 0 Use the step-down method to allocate the budgeted costs of the Human Resources and Computing departments to the Deposit and Loan departments. Aurora National Bank allocates the costs of the Human Resources Department first. (Do not round intermediate calculations.) Deposit Allocation of HR cost Allocation of Computing cost Total cost allocation Loan 3.Bay State Community College enrolls students in two departments, Liberal Arts and Sciences. The college also has two service departments, the Library and the Computing Services Department. The usage of these two service departments' output for the year is as follows: Provider of Service User of Service Library Computing Services Liberal Arts Sciences Library 60% 40% Computing Services 20% 30% 50% The budgeted costs in the two service departments for the year are as follows: Library Computing Services $710,000 240,000 Use the direct method to allocate the budgeted costs of the Library and Computing Services Department to the college's Liberal Arts and Sciences departments. (Do not round intermediate calculations.) Provider of Service Lib Computing Total Liberal Arts Sci 4.Bay State Community College enrolls students in two departments, Liberal Arts and Sciences. The college also has two service departments, the Library and the Computing Services Department. The usage of these two service departments' output for the year is as follows: Provider of Service User of Service Library Computing Services Liberal Arts Sciences Library 50% 50% Computing Services 20% 30% 50% The budgeted costs in the two service departments for the year are as follows: Library $1,060,000 Computing Services 520,000 Use the step-down method to allocate Bay State Community College's service department costs to the Liberal Arts and Sciences departments. (Do not round intermediate calculations.) Deposit Allocation of HR cost Allocation of Computing cost Total cost allocation Loan 5. Breakfasttime Cereal Company manufactures two breakfast cereals in a joint process. Cost and quantity information is as follows: Quantity at Split-Off Point Sales Price per Kilogram Joint Cost Cereal 41,00 13,80 3.0 $ Yummies kilograms $ 0 0 0 3.5 Crummies 9,200 kilograms 0 Use the physical-units method to allocate the company's joint production cost between Yummies and Crummies. (Do not round intermediate calculations.) Allocation of Joint Cost Yummies Crummies 6.Breakfasttime Cereal Company manufactures two breakfast cereals in a joint process. Cost and quantity information is as follows: Joint Cost Cereal Quantity at Split-Off Point Sales Price per Kilogram 106,00 13,60 7.6 $ Yummies kilograms $ 0 0 0 Crummie 9.1 9,600 kilograms s 0 Use the relative-sales-value method to allocate the company's joint production cost between Yummies and Crummies. (Round your calculation of relative proportions to 3 decimal places.) Sales Value @ Split off Point Allocation of Joint Cost Yummies Crummies Total 7. Breakfasttime Cereal Company manufactures two breakfast cereals in a joint process. Cost and quantity information is as follows: Joint Cost 97,00 $ 0 Cereal Quantity at Split-Off Point 12,70 Yummies kilograms 0 Crummie 8,700 kilograms s Sales Price per Kilogram 6.7 $ 0 8.2 0 Breakfasttime Cereal Company has an opportunity to process its Crummies further into a mulch for ornamental shrubs. The additional processing operation costs $2.20 per kilogram, and the mulch will sell for $14.00 per kilogram. 1-a. Compute the net incremental revenue per kilogram if management decide to process Crummies into the mulch. (Round your answer to 2 decimal places.) Net incremental revenue _____________ Per kilogram 1-b. Should Breakfasttime's management decide to process Crummies into the mulch? Yes No 8. Suppose the company does process Crummies into the mulch. Use the net-realizable-value method to allocate the joint production cost between the mulch and the Yummies. (Round your calculation of relative proportions to 3 decimal places.) Allocation of Joint Cost Yummies Mulch 9.Aurora National Bank has two service departments, the Human Resources (HR) Department and the Computing Department. The bank has two other departments that directly service customers, the Deposit Department and the Loan Department. The usage of the two service departments' output for the year is as follows: Provider of Service Human Resources Human Resources (HR) 0 Computing 15% Deposit 60% Loan 25% User of Service Computing 15% 0 55% 30% The budgeted costs in the two service departments for the year are as follows: Human Resources Computing $659,000 888,500 Required: Use the reciprocal-services method to allocate the budgeted costs of the Human Resources and Computing Departments to the Deposit and Loan Departments. (Do not round intermediate calculations. Round your answers to the nearest dollar amount.) Provider of Service Allocation of HR dept cost Allocation of Comp dept cost Total cost allocated to each dept Deposit Loan