Management at C. Pier Press has decided to allocate costs of the papers two support departments (administration and human resources) to the two revenue-generating departments (advertising and circulation). Administration costs are to be allocated on the basis of dollars of assets employed; human resources costs are to be allocated on the basis of number of employees. The following costs and allocation bases are available:

Department		Direct Costs	Number of Employees	Assets Employed
Administration		$547,050	7	$270,970
Human resources		344,890	6	204,190
Advertising		670,460	8	533,680
Circulation		946,820	18	1,309,210
Totals		$2,509,220	39	$2,318,050

a. Using the direct method, allocate the support department costs to the revenue-generating departments.

Note: Round percentages in your calculation to the nearest whole percent (for example, round 34.5% to 35%).

Note: Round your final answer to the nearest whole dollar.

Amount allocated to Advertising: $ Amount allocated to Circulation: $

b. Using your answer to (a), what are the total costs of the revenue-generating departments after the allocations? Advertising total costs $ Circulation total costs $

c. Assuming that the benefits-provided ranking is the order shown in the table, use the step method to allocate the support department costs to the revenue-generating departments. Note: Round your final answers only to the nearest whole dollar. Amount allocated to Advertising: $ Amount allocated to Circulation: $

d. Using the algebraic method, allocate the support department costs to the revenue-generating departments.

Note: Round percentages in your calculation to the nearest whole percent (for example, round 34.5% to 35%).

Note: Round your final answer to the nearest whole dollar.

Amount allocated to Advertising: $ Amount allocated to Circulation: $

e. Using your answer to (d), what are the total costs of the revenue-generating departments after the allocations? Advertising total costs $ Circulation total costs $