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- X Data table h and Information Technology have been allocated using the direct method? (Do not round intermediary calculati Support Departments Operating Departments Requirements
- X Data table h and Information Technology have been allocated using the direct method? (Do not round intermediary calculati Support Departments Operating Departments Requirements Information Domestic World Administration Technology Tours Tours Total $ 500,000 $ 300,000 $ 1,300,000 $ 1,850,000 $ 3,950,000 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, (b) the step-down method (allocate Administration first), (c) the step-down method (allocate Information Technology first), and (d) the reciprocal method using the method of repeated iterations and linear equations? Budgeted overhead costs before any interdepartment cost allocations Support work furnished: By Administration Budgeted administration salaries Percentage By Information Technology Budgeted IT service hours Percentage - $ 60,000 $ 65,000 $ 250,000 125,000 $ 50% 24% 26% 100% Print Done 1.000 2,400 1,600 5,000 20% 48% 32% 100% Print Done Read the requirements & it . - n . Direct Method Domestic Tours World Tours Budgeted overhead costs before interdepartment cost allocations Allocation of Administration costs Allocation of Information Technology costs Total budgeted overhead of operating departments (b) Step-down method (allocate Administration first): What are the total overhead costs of the operating departments (domestic and world tours) after the support department costs of Administrati round intermediary calculations. Only round the amount you input in the input field to the nearest dollar. Complete all input fields. If a total is z Support Departments Operating Departments Information Domestic World Administration Technology Tours Tours Step-down Method Budgeted overhead costs before interdepartment cost allocations Allocation of Administration costs Allocation of Information Technology costs Total budgeted overhead of operating departments 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 the step-down method (allocate Information Technology first)? (D not round intermediary calculations. Only round the amount you input in the input field to the nearest dollar. Complete all input fields. If a total is zero, enter "0". Use a minus sign or parentheses for any amounts to be subtracted. In the sixth allocation of administrativ costs, allocate the remaining balance to "World Tours". Note that slight rounding differences may occur.) Support Departments Operating Departments Information Domestic World Step-down Method Administration Technology Tours Tours Budgeted ovehead costs before interdepartment cost allocations Allocation of Administration costs Allocation of Information Technology costs Total budgeted overhead of operating departments (d) Reciprocal method using the liner equations 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 the reciprocal method using the method of repeated iterations an 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= IT= 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 input fields. 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 Allocation of Administration costs Allocation of Information Technology costs Total budgeted overhead of operating departments 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 input fields. Enter a "0" for any zero balances. Abbreviations used: IT = Information Technology, OH = overhead. In the sixth allocation of administrative costs, allocate the remaining balance to "World Tours". Note that slight rounding differences may occur.) Support Departments Operating Departments Information Domestic World Administration Technology Tours Tours Total Reciprocal Method Budgeted overhead costs before interdepartment cost allocations First allocation of Administration costs First allocation of IT costs Second allocation of Administration costs Second allocation of IT costs First allocation of IT costs Second allocation of Administration costs Second allocation of IT costs Third allocation of Administration costs Third allocation of IT costs Fourth allocation of Admininstration costs Fourth allocation of IT costs Fifth allocation of Administration costs Fifth allocation of IT costs Sixth allocation of Administration costs Total budgeted OH of operating departments
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