Homework Help is Here – Start Your Trial Now!
Business
Accounting
Baldwin Enterprises has two service departments, Personnel and Legal, and two operating divisions, Eastern and Western. Personnel costs are allocated on the basis of employees and Legal costs are allocated on the basis of hours. A summary of Baldwin operations follows: Employees Hours Department direct costs Personnel Costs Personnel Legal 10,800 $ 320,000 Total Complete this question by entering your answers in the tabs below. $ 320,000 $ Legal $ 180,000 Required: a. Allocate the cost of the service departments to the operating divisions using the direct method. b. Allocate the cost of the service departments to the operating divisions using the step method. Start with Legal. c. Allocate the cost of the service departments to the operating divisions using the reciprocal method. Eastern Western Personnel Legal 320,000 $ 180,000 $1,220,000$ 810,000 180,000 $1,220,000 $ Required A Required B Required C Allocate the cost of the service departments to the operating divisions using the reciprocal method. Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar values. Amounts to be deducted should be indicated by a minus sign. < Required B Eastern 810,000 120 5,400 $1,220,000 Required C > Western 40 1,800 $ 810,000

Baldwin Enterprises has two service departments, Personnel and Legal, and two operating divisions, Eastern and Western. Personnel costs are allocated on the basis of employees and Legal costs are allocated on the basis of hours. A summary of Baldwin operations follows: Employees Hours Department direct costs Personnel Costs Personnel Legal 10,800 $ 320,000 Total Complete this question by entering your answers in the tabs below. $ 320,000 $ Legal $ 180,000 Required: a. Allocate the cost of the service departments to the operating divisions using the direct method. b. Allocate the cost of the service departments to the operating divisions using the step method. Start with Legal. c. Allocate the cost of the service departments to the operating divisions using the reciprocal method. Eastern Western Personnel Legal 320,000 $ 180,000 $1,220,000$ 810,000 180,000 $1,220,000 $ Required A Required B Required C Allocate the cost of the service departments to the operating divisions using the reciprocal method. Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar values. Amounts to be deducted should be indicated by a minus sign. < Required B Eastern 810,000 120 5,400 $1,220,000 Required C > Western 40 1,800 $ 810,000

Managerial Accounting
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter2: Job Order Costing
Section: Chapter Questions
Problem 16E: Job order cost accounting for a service company The Fly Company provides advertising services for...
See similar textbooks
icon
Related questions
Question

jgdish

Help, just need Required C Thank you Baldwin Enterprises has two service departments, Personnel and Legal, and two operating divisions, Eastern and Western. Personnel costs are allocated on the basis of employees and Legal costs are allocated on the basis of hours. A summary of Baldwin operations follows: Employees Hours Department direct costs Costs Personnel Legal Personnel Total G 10,800 $ 320,000 Complete this question by entering your answers in the tabs below. $ 320,000 $ Eastern Personnel Legal 320,000 $ 180,000 $1,220,000 $ Legal Required: a. Allocate the cost of the service departments to the operating divisions using the direct method. b. Allocate the cost of the service departments to the operating divisions using the step method. Start with Legal. c. Allocate the cost of the service departments to the operating divisions using the reciprocal method. $ 180,000 180,000 $1,220,000 $ <Required B 40 Required A Required B Required C Allocate the cost of the service departments to the operating divisions using the reciprocal method. Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar values. Amounts to be deducted should be indicated by a minus sign. Western 810,000 Eastern 810,000 120 5,400 $1,220,000 Required C > Western 40 1,800 $ 810,000
Transcribed Image Text:Help, just need Required C Thank you Baldwin Enterprises has two service departments, Personnel and Legal, and two operating divisions, Eastern and Western. Personnel costs are allocated on the basis of employees and Legal costs are allocated on the basis of hours. A summary of Baldwin operations follows: Employees Hours Department direct costs Costs Personnel Legal Personnel Total G 10,800 $ 320,000 Complete this question by entering your answers in the tabs below. $ 320,000 $ Eastern Personnel Legal 320,000 $ 180,000 $1,220,000 $ Legal Required: a. Allocate the cost of the service departments to the operating divisions using the direct method. b. Allocate the cost of the service departments to the operating divisions using the step method. Start with Legal. c. Allocate the cost of the service departments to the operating divisions using the reciprocal method. $ 180,000 180,000 $1,220,000 $ <Required B 40 Required A Required B Required C Allocate the cost of the service departments to the operating divisions using the reciprocal method. Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar values. Amounts to be deducted should be indicated by a minus sign. Western 810,000 Eastern 810,000 120 5,400 $1,220,000 Required C > Western 40 1,800 $ 810,000
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Strategic business units
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Managerial Accounting
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
SEE MORE TEXTBOOKS