Requirement 1. Delermine the costs allocated to the relai and industrial divisions using the direct method: (Abbereviations used: Admin is administrative, Act. A activity Do not round until your final answer, then round to the nearest dollar, Use parentheses or a minus sign when decreasing departments by allocating costs. For amounts with a $0 balance, make sure to enter " 0 in the appropriate cell) More info The retail division has Activity 1 and Activity 2 and the industrial division has Activity 3, Activity 4, and Activity 5. The company has decided to allocate personnel costs on the basis of number of employees and administrative on the basis of the direct costs of the activities in each division. However, administrative services are provided only to activities 2 and 3 , so no administrative costs are allocated to activities 1,4 , and 5 . DS. Partners provides consulting servioos for a variety of clients. The company has two producing divisions, one for retail companies and one for industrial companies. and two service departments, personnel and administrative, Untal now the compary has not allocated service department costs. However, D\&.J has decided to alcocate these costs to the producing departments using an acivity-based allocation system. (Click the icon to view infomation about D8 Js activities.) Data for the activibes follow: (Click the ioon to view the activity data.) Read the requirements. \begin{tabular}{lrr} \hline & Number of Personnel & Direct Costs \\ \hline Personnel & 11 & 95,000 \\ Administrative & 6 & 120,000 \\ Retail: & 7 & \\ Activity 1 & 16 & 40,000 \\ Activity 2 & & 230,000 \\ Industrial: & 17 & \\ Activity 3 & 11 & 900,000 \\ Activty 4 & & 110,000 \\ Activity 5 & & 160,000 \\ \hline \end{tabular} m Requirements 1. Determine the costs allocated to the retail and industrial divisions using the direct method. 2. Determine the costs allocated to the retail and industrial divisions using the step-down method. The personnel department costs should be allocated first. DSJ Partners provides consulting services for a variety of clients. The company has two producing divisions, one for retail companies and one for industrial companies, and two service departments, personnel and administrative, Unti now the company has not allocated service department costs. However, D8. S has decided to allocate these costs to the producing departments using an activity-based allocation system. (Click the icon to view information about D\&.'s activities.) Data for the activities follow: (Click the icon to view the activity data.) Read the requirements. The retail division has Activity 1 and Activity 2 and the industrial division has Activity 3, Activity 4, and Activity 5. The company has decided to allocate personnel costs on the basis of number of employees and administrative on the basis of the direct costs of the activities in each division. However, administrative services are provided only to activities 2 and 3 , so no administrative costs are allocated to activities 1,4 , and 5 . Data table 1. Determine the costs allocated to the retail and industrial divisions using the direct method. 2. Determine the costs allocated to the retail and industrial divisions using the step-down method. The personnel department costs should be allocated first
