RVA Company distributes the service department overhead costs directly to producing departments without allocation to the other service departments. Information for the current month is presented below (SEE PICTURE BELOW):

38. The amount of utilities department costs distributed to producing department B for the current month should be:Required to answer. Single choice.

Using the same information in Item 38, if RVA company uses the reciprocal method, what would be the formula to determine the total utilities cost?Required to answer. Single choice.

Maintenance Utilities Overhead costs incurred Services provided to: P18,700 P9,000 Maintenance department (M) Utilities department (U) Producing department A (A) 10% 20% 40% 30% Producing department B (B) 40% 60%