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Tuscaloosa National Bank has two service departments, the Human Resources (HR) Department and the Computing Department. The bank has two other departments that directly
Tuscaloosa National Bank has two service departments, the Human Resources (HR) Department and the Computing Department. The bank has two other departments that directly service customers, the Deposit Department and the Loan Department. The usage of the two service departments' output for the year is as follows: User of Service ed HR Computing Deposit Loan Provider of Service HR Computing 15% 15% 60% 55% 25% 30% The budgeted costs in the two service departments for the year are as follows: HR Computing $499,000 728,500 Required: Use the reciprocal-services method to allocate the budgeted costs of the HR and Computing departments to the Deposit and Loan departments. (Do not round your intermediate calculations and round final answers to the nearest dollar amount.) Provider of Service Deposit Loan Allocation of HR Department costs $ 373,366 $ 186,683 Allocation of Computing Department costs 410,921 246,552 Total costs allocated to each department $ 784,287 $ 433,235 *Red text indicates no response was expected in a cell or a formula-based calculation is incorrect; no points deducted.
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