Hi,

i wanna know step by step answer of this question. Also using the step-down method, what is the amount of Janitorial Department cost allocated to the Finishing Department? and additionally I want to know using the reciprocal method, what is the amount of Personnel Department cost allocated to the Assembly Department? Thanks in advance.

The Kelsey Manufacturing Company Lid has two production departments (Assembly and Finishing) and two support departments (Janitorial and Personnel). The usage of the two support departments in 2012 is as follows: Personnel Janitorial User of support department service Personnel 5% Janitorial 10% Assembly 60% 40% Finishing 30% 55% The budgeted costs in the support departments of 2012 were as follows: Personnel $90,000 Janitorial $50,000 Using the direct method, what is the Janitorial Department cost allocated to the Assembly Department? Select one: O a. $25,000 O b. $34, 158 O c. $28,948 053