Hessel Corporation has two operating departments (Domestic and Global) and three service departments: Human Resources (HR), Legal, and Testing. In the most recent period, the following costs and service department usage ratios were recorded: Supplying Department Human Resources Legal Testing Direct cost From: Human Resources Legal Testing Total Human Resources 0 10% 10% Costs $ 264,500 Legal Allocated to: Domestic $ 190,000 Using Department Testing 15% 0 0 Global Required: Allocate the service department costs to the two operating departments using the reciprocal method. Note: Do not round intermediate calculations. 10% 0 0 $ 90,000 Domestic 25% 30% 45% $ 542,000 Global 50% 60% 45% $ 491,000

Hessel Corporation has two operating departments (Domestic and Global) and three service departments: Human Resources Legal, and Testing. In the most recent period, the following costs and service department usage ratios were recorded: Required: Allocate the service department costs to the two operating departments using the reciprocal method. Note: Do not round intermediate calculations