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Support department cost allocation-recibrocal services method Temple Ughts, Inc. producen Hambkkah menorahs in its Cutting and Molding departmentw. The Maintenance and 5 ecurity departments supbort
Support department cost allocation-recibrocal services method Temple Ughts, Inc. producen Hambkkah menorahs in its Cutting and Molding departmentw. The Maintenance and 5 ecurity departments supbort the production of ihe menorahs, Copts from the Maintenance Department are allocated byved on machine hours, arid costs frem the Secuity Departasent are allocated based on asket value, tntormatuon obout each department is provided in the following table: betermine the total cost ol each production department after allocoting all support department costs to the production degartments using the reaprocal services methiod. Fokeded Fched when The recopracal services miethod considers alf inter support-department service, and thars is the most aocurate at the thee sumport department allacation methads The proporbonil usige of each suppoet deportment's cost dover try the otherdepartments to whach iss costs are to be allocated munt be determined, Thet, the support department conts are allocated simultaneously arnong the deportmerits
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