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line teaching and learning resource from Cengage Leaming Support department cost allocation-comparison Becker Tabletops has two support departments (Janitorial and Cafeteria) and two production
line teaching and learning resource from Cengage Leaming Support department cost allocation-comparison Becker Tabletops has two support departments (Janitorial and Cafeteria) and two production departments (Cutting and Assembly). Relevant details for these departments are as follows: Support Department Janitorial Department Cafeteria Department Cost Driver Square footage to be serviced Number of employees Janitorial Department Cafeteria Department Cutting Department Assembly Department Department costs $310,000 $169,000 Square feet Number of employees 50 10 5,000 $1,504,000 1,000 $680,000 4,000 3 30 10 Allocated the support department costs to the production departments using the direct method below. Cutting Department Assembly Department Janitorial Department cost allocation Cafeteria Department cost allocation $62,000 $126,750 $248,000 $42,250 Allocated the support department costs to the production departments using the reciprocal services method below. Cutting Department Assembly Department Janitorial Department cost allocation $38,200 $216,000 $152,800 $72,000 Cafeteria Department cost allocation Allocated the support department costs to the production departments and Cafeteria Department using the sequential method below. Cafeteria Department Janitorial Department cost allocation $155,000 Cafeteria Department cost allocation Cutting Department $31,000 $243,000 Assembly Department $124,000 $81,000 Compare the total support department costs allocated to each production department under each cost allocation method. a. Which production department is allocated the most support department costs under the direct method? Cost tments Assembly Depart b. Which production department is allocated the most support department costs under the sequential method? Cutting Deptartmut Cost c. Which production department is allocated the most support department costs under the reciprocal services method? Cost $ Cutlery Department is Feedback https://v2.cengagenow.com/ilm/takeAssignment/takeAssignmentMain.do?invoker-&takeAssignmentSessionLocator &inprogress=false 1/2
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