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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) $380,000 Personnel P (Support Dept) $180,000 Weaving W (Weaving Dept) $620,000 Colorizing C(Colorizing Dept) $420,000 Services furnished: By Maintenance (budgeted labor-hours): to Personnel 1,900 to Weaving 7,700 to Colorizing 4,100 By Personnel (Number of employees serviced): Plant Maintenance 12 Weaving 31 Colorizing 22 What is the complete reciprocated cost of the Maintenance Department? (Do not round any intermediary calculations.) O A. $424,085 O B. $380,000 O C. $413,228 OD. $0
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