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Requirement 1. Alocate the support departments' costs to the operating departments in the poor method Festtermine the reasons for each support dement A. AB Now alocate the support department costs IAS and is department costo that you determined in the protep) to the two operating departments using the reciprocal method. Round decimal calculations to three decimal places, 2004, and Your Falwers to the whole della series who deciderent by locating contineat for any rerem) Support Departments Operating Department Reciprocal Mothed IS GOVT CORP Total Budapeta vad con Sestor interdepartment collections Allocation of AS Action of 16 cost Total budgered ove operating perta Mequirement 1. Alonte the two support departmenta conta do the fue operating departments are the reciprocal method Les repeated theratona (found your tral rowers to the nearest wolte dalla Une parenters or a minus yn when departments by for any Support Departments Operating Departments Reciprocal Method is GOVT CORP AS Bugeted verteed conte border contation Two of All.com info Second won of AS Second Won of the The conosco The coton oscow Pathon Fouration of en location of AS.com You bed of pening Resum 2.o and win in whose del mod and the opened Wood do you prefer? Why? Requirement 2. Compare and plan torences in regulament with from the direct hot and see down hot, which metod do you prefer? Why? Begin byrerigte opponermare cu coach operating that under en of the methods below GOVE CORP Dehod fpdown (A Sup-downstre Thararga | The four methodsdien The stepdows method and the most accurate The recognizes all the tons - X Direct method Support Departments AS IS Operating Departments GOVT CORP Total Direct Method Budgeted overhead costs before interdepartment cost allocations Allocation of AS costs Allocation of Is costs Total budgeted overhead of operating departments 600,000 $2,400,000 $ 8,756,000 $ 12,452,000 $ 24,208,000 (600,000) 320,000 280,000 (2,400,000) 800,000 1.600.000 OS 0$ 9,876,000 $ 14,332,000 $ 24,208,000 Print Done - Step-down method (AS first) Support Departments AS IS Operating Departments GOVT CORP Total Step-down Method Budgeted overhead costs before interdepartment cost allocations Allocation of AS costs 600,000 $ 2.400.000 $ 8,756,000 $ 12.452,000 $ 24,208,000 (600.000) 150,000 240.000 210,000 Allocation of Is costs Total budgeted overhead of operating departments 2.550,000 (2.550,000) 850,000 1.700.000 S OS 9.846,000 $ 14,362,000 $ 24,208,000 Step-down method (IS first) Support Departments Operating Departments GOVT CORP AS IS Total Step-down Method Budgeted overhead costs before interdepartment cost allocations Allocation of Is costs 0 $ 600,000 $2,400,000 $ 8.756,000 $ 12,452,000 $ 24,208,000 240,000 (2.400,000) 720,000 1,440,000 $ 840.000 (840,000) 448,000 392,000 $ 9,924,000 S 14 284,000 $ 24,208,000 Allocation of AS costs Total budgeted overhead of operating departments Print Done Reference GOVT CORP 1,880,000 Direct method Step-down (AS first) Step-down (IS first) 1,120,000 $ 1,090,000 1,910,000 1,832.000 1,168,000 Print Done