Question
The following information is departmental cost allocation with two service departments and two production departments. Percentage Service Provided to Department Service 1 (S1) Cost
The following information is departmental cost allocation with two service departments and two production departments. Percentage Service Provided to Department Service 1 (S1) Cost $ 49,000 S1 S2 P1 P2 Service 2 (S2) 39,000 0% 25 30% 35% 35% 0 45 30 Production 1 (P1) 290,000 Production 2 (P2) 340,000 Brief Exercise 7-14 [LO 7-3] What is the amount of service department cost allocated to P1 and P2 using the direct method if the cost in P1 is changed from $290,000 to $310,000? P1 P2 Total Cost Allocated
Step by Step Solution
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Step: 1
To solve this problem we need to allocate the service department costs to the production departments ...Get Instant Access to Expert-Tailored Solutions
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Step: 2
Step: 3
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