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Hugo, owner of Automated Fabric, Inc., is interested in using the reciprocal allocation method. The following data from operations were collected for analysis: Budgeted manufacturing
Hugo, owner of Automated Fabric, Inc., is interested in using the reciprocal allocation method. The following data from operations were collected for analysis: Budgeted manufacturing overhead costs: Maintenance M (Support Dept) Personnel Weaving Colorizing Services furnished: P (Support Dept) W (Weaving Dept) C (Colorizing Dept) By Maintenance (budgeted labor - hours): to Personnel to Weaving to Colorizing By Personnel (Number of employees serviced): Plant Maintenance Weaving Colorizing $340,000 $180,000 $670,000 $410,000 1,300 7,500 4,900 7 36 27 What is the complete reciprocated cost of the Maintenance Department? (Do not round any intermediary calculations.) A. $340,000 B. $358,000 C. $0 D. $361,434
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