What are the total overhead costs of the operating departments (domestic and world tours) after the support department costs of Administration and Information Technology have been allocated using (a) the direct method? (Do not round intermediary calculations. Only round the amount you input in the cell to the nearest dollar.)

Direct Method	Domestic Tours	World Tours
Budgeted overhead costs
before interdepartment cost allocations	$1,650,000	$1,800,000
Allocation of Administration costs	160,000	440,000
Allocation of Information Technology costs	396,512	153,488
Total budgeted overhead of operating departments	$2,206,512	$2,393,488

What are the total overhead costs of the operating departments (domestic and world tours) after the support department costs of Administration and Information Technology have been allocated using (b) the step-down method (allocate Administration first)? (Do not round intermediary calculations. Only round the amount you input in the cell to the nearest dollar. Complete all answer boxes. If a total is zero, enter "0". Use a minus sign or parentheses when decreasing departments by allocating costs.)

	Support Departments		Operating Departments
		Information	Domestic	World
Step-down Method	Administration	Technology	Tours	Tours
Budgeted overhead costs
before interdepartment cost allocations	$600,000	$550,000	$1,650,000	$1,800,000
Allocation of Administration costs	(600,000)	150,000	120,000	330,000
Allocation of Information Technology costs		(700,000)	504,651	195,349
Total budgeted overhead of operating departments	$0	$0	2,274,651	$2,325,349

What are the total overhead costs of the operating departments (domestic and world tours) after the support department costs of Administration and Information Technology have been allocated using (c) the step-down method (allocate Information Technology first)? (Do not round intermediary calculations. Only round the amount you input in the cell to the nearest dollar. Complete all answer boxes. If a total is zero, enter "0". Use a minus sign or parentheses for any amounts to be subtracted.)

	Support Departments		Operating Departments
		Information	Domestic	World
Step-down Method	Administration	Technology	Tours	Tours
Budgeted ovehead costs
before interdepartment cost allocations	$600,000	$550,000	$1,650,000	$1,800,000
Allocation of Administration costs	(677,000)		180,533	496,467
Allocation of Information Technology costs	77,000	(550,000)	341,000	132,000
Total budgeted overhead of operating departments	$0	$0	2,171,533	$2,428,467

What are the total overhead costs of the operating departments (domestic and world tours) after the support department costs of Administration and Information Technology have been allocated using (d) the reciprocal method using the method of repeated iterations and liner equations?

Before we can allocate the support departments' costs to the two operating departments using the reciprocal method, let's first determine the linear equations for each support department. Then off-line solve for Administration and Information Technology, so that you may complete the allocation of the support departments' costs. (Abbreviations used: AD = administration; IT = information technology.)

AD=	$600,000	+	0.14	IT
IT=	$550,000	+	0.25	AD

Now allocate the support departments' costs (human resources and information systems) to the two operating departments using the reciprocal method. (Round proportions to five decimal places, .XXXXX, and your final answers to the nearest whole dollar. Use parentheses or a minus sign when decreasing departments by allocating costs. Complete all answer boxes. Enter a "0" for zero balances.)

	Support Departments		Operating Departments
		Information	Domestic	World
Reciprocal Method	Administration	Technology	Tours	Tours	Total
Budgeted overhead costs
before interdepartment cost allocations	$600,000	$550,000	$1,650,000	$1,800,000	$4,600,000
Allocation of Administration costs	(701,554)	175,389	140,311	385,855
Allocation of Information Technology costs	101,554	(725,389)	449,741	174,093
Total budgeted overhead of operating departments	$0	$0	$2,240,052	$2,359,948	$4,600,000

This time, use repeated iterations. (Round your final answers to the nearest whole dollar. Use parentheses or a minus sign when decreasing departments by allocating costs. Complete all answer boxes. Enter a "0" for any zero balances. Abbreviations used: IT = Information Technology; OH = overhead.)

	Support Departments		Operating Departments
		Information	Domestic	World
Reciprocal Method	Administration	Technology	Tours	Tours	Total
Budgeted overhead costs
before interdepartment cost allocations	$600,000	$550,000	$1,650,000	$1,800,000	$4,600,000
First allocation of Administration costs	(600,000)	150,000	120,000	330,000
		700,000
First allocation of IT costs	98,000	(700,000)	434,000	168,000
Second allocation of Administration costs	(98,000)	24,500	19,600	53,900
Second allocation of IT costs	3,430	(24,500)	15,190	5,880

Third allocation of Administration costs	(3,430)	858	686	1,887
Third allocation of IT costs	120	(858)	532	206
Fourth allocation of Admininstration costs	(120)	30	24	66
Fourth allocation of IT costs	4	(30)	19	7
Fifth allocation of Administration costs	(4)	1	1	2
Fifth allocation of IT costs	0	(1)	1	0
Sixth allocation of Administration costs	0	0	0	0
Total budgeted OH of operating departments	$0	$0	$2,240,052	$2,359,948	$4,600,000

So I ended up missing this problem but all of the correct numbers are present. If you could explain everything step by step and show calculations for everything, it would be greatly appreciated. Thank you!