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Reoprocal Method of Support Department Cost Alocatbon Vatron Company has two support departments, Human Resources and General Factory, and two producing departments, Fabricating and Assembly.

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Reoprocal Method of Support Department Cost Alocatbon Vatron Company has two support departments, Human Resources and General Factory, and two producing departments, Fabricating and Assembly. The costs of the Human Resources Department are allocated on the basis of number of employees, and the costs of Generai Factory are allocated on the basis of square footage. Now assume that Valron Company uses the reciprocal method to allocate support departuent costs. Required 1. Calculate the allocabon rabos (rounded to rour signiticant digits) for the four departments using thet redprocal method, if an amount is zero, enter -o*. Use the rounded values for subsequent calculacions. Human 15 Gencra! 2. Deveiop a simultaneous equabons syitem of Lotal costs for the support departmenc. If required, rubnd your answers to fogr decimal places. Use these 1. 2. Develop a simultaneous equations system of total costs for the support departments. If required, round your answers to four dedmal places. Use these numbers for subsequent calculations. If required, round all other intermediate calculations to six decimal places, except the answers computed in requirement 1. Human Resources (HR) General Factory (GF) = Solve for the total reciprocated costs of each support department. (Round reciprocated total costs to the nearest dollar.) 3. Using the reciprocal method, allocate the costs of the Human Resources and General Factory departments to the Fabricating and Assembly departments. Round all allocated costs to the nearest dollar. If an amount is zero. enter " 0 ". Note: There may be a "si" difference due to intermediate rounding

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