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University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing). Management has decided to allocate maintenance costs on

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University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing). Management has decided to allocate maintenance costs on the basis of machine-hours in each department and personnel costs on the basis of labor-hours worked by the employees in each. The following data appear in the company records for the current period: Maintenance Personnel Machine-hours Labor-hours. Department direct costs 500 $5,000 Printing 1,000 1,000 500 $12,000 $15,000 Developing 3,000 2,000 $10,000 Required: Allocate the service department costs using the reciprocal method. (Matrix algebra is not required because there are only two service departments.) (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations. Round your final answers to the nearest whole dollar amounts.) From: Maintenance Service department costs $ 5,000 $ Maintenance Personnel Total Cost Allocation To: Personnel Printing Developing 12,000 $ $ $ 5,000 $ 12,000 $ 0 $

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