Question 1

How to compute 1899 and 1937

University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing). Management has decided to allocate maintenance costs on the basis of machine-hours in each department and personnel costs on the basis of labor-hours worked by the employees in each. & The following data appear in the company records for the current period: + Machine He DL-H Department direct costs + Maintenance Personnel 6372134 340494. -(- $ 110004 $ 21000 Printing Developing 784764 3479-hi, 4405 36004 1300-654, $ 260004 $ 170004 3 (hint on how to read the table above: Personnel department uses 637 machine hours, printing 784 MH, Developing 3479 MH) Required: Allocate the service department costs using the reciprocal method. (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations. Round your final answers to the nearest whole dollar amounts.) Developing enco0 Cost Allocation to: From: Maintenance Personnel Printing Service department costs 41,900 421,000 12 6,000 Maintenance (14890) 41927 Personnel +(22939) Totale t 1. 1. 1. 1. 1. 5899