Bens Corporation has three service departments (Repairs, HR, and IT) and two production departments (M1 and M2). The following usage data for each of the service departments for the previous period follow. Repairs HR IT Repairs HR 0% 10% 0% HR allocation IT allocation Total costs allocated Service department costs Repairs allocation 10% IT 0% 20% The direct costs of the service departments in the previous period were $40,000 for Repairs, $59,600 for HR, and $90,000 for IT. Required: Use the direct method to allocate the service department costs to the production departments. (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations.) M1 40% 35% 20% Repairs M2 60% 35% 70% HR IT M1 M2
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- Memorial Services, Incorporated (MSI) has three service departments (IT, Accounting, and HR) and two production departments (West and East). The usage data for each of the service departments for the previous period follow: IT IT 05 10% Accounting HR 8% 20% 10% Allocation Service department costs IT allocation Accounting allocation HR allocation Total costs allocated 0% Accounting HR The direct costs of the service departments in the previous period were $184,650 for IT, $100,000 for Accounting, and $113,500 for HR. $ Required: Use the reciprocal method to allocate the service department costs to the production departments. (Matrix algebra is not required.) Note: Amounts to be deducted should be indicated by a minus sign. Do not round intermediate calculations. IT West East 40% 40% 60% 60% 40% 20% 0 $ Accounting 0 $ HR 0 $ West 0 $ East 0Bens Corporation has three service departments (Repairs, HR, and IT) and two production departments (M1 and M2). The following usage data for each of the service departments for the previous period follow. Repairs HR IT Repairs HR ON 10% ON Repairs allocation Total costs allocated Service department costs HR allocation IT allocation 10% IT 08 20% The direct costs of the service departments in the previous period were $76,000 for Repairs, $95,600 for HR, and $171,000 for IT. Required: Use the step method to allocate the service department costs to the production departments. Allocate HR costs first, followed by IT, and then Repairs. (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.) M1 M2 40% 60% 35% 358 20% 70% Repairs HR IT M2Bens Corporation has three service departments (Repairs, HR, and IT) and two production departments (M1 and M2). The following usage data for each of the service departments for the previous period follow. Repair HR IT M1 M2 Repairs - 0% 0%` 40% 60% HR 10% - 20% 35% 35% IT 0% 10% - 20% 70% The direct costs of the service departments in the previous period were $20,000 for Repairs, $39,600 for HR, and $45,000 for IT. Required Use the direct method to allocate the service department costs to the production departments.
- Bens Corporation has three service departments (Repairs, HR, and IT) and two production departments (M1 and M2). The following usage data for each of the service departments for the previous period follow. Repair HR IT M1 M2 Repairs - 0% 0%` 40% 60% HR 10% - 20% 35% 35% IT 0% 10% - 20% 70% The direct costs of the service departments in the previous period were $20,000 for Repairs, $39,600 for HR, and $45,000 for IT. Required :- Use the reciprocal method to allocate the service department costs to the production departments. (Matrix algebra is not required.)( perating income of the Pierce Automobile Division is $2,225,000. If operating income before support department allocations is $3,250,000, Oa. direct manufacturing charges are $1,025,000 Ob. noncontrollable charges are $1,025,000 Oc. operating expenses are $1,025,000 Od. total support department allocations are $1,025,000 All work saved. Next Submit Test for GradinMayfair Company has two service departments (A and B) and two producing departments (C and D). Last year, direct costs were A $80,000; B $60,000; C $15,000 and D $20,000. A provides services to B 10%, C 60% and D 30% while B provides services to A 30%, C 20% and D 50%. Using the algebraic method, Dept. A's allocation to Dept. C was $35,051$14,021$21,031$60,619
- Sacramento Company has two service departments (A and B) and two producing departments (C and D). Last year, direct costs were A P80,000; B P60,000; C P15,000 and D P20,000. A provides services to B 10%, C 60% and D 30% while B provides services to A 30%, C 20% and D 50%. Using the algebraic method, Dept. A's allocation to Dept. C was * P60,619. P14,021. P21,031. P35,051.A department has total conversion costs of $153,300 and total materials costs of $250,025. If the department has 36,500 equivalent units of production for materials and 73,000 equivalent units of production for conversion costs, what is the total manufacturing cost per unit? O $11.05 O $8.95 $9.50 O $2.65ServicePro provides two kinds of services. During the most recent accounting period, the two service lines produced the following operating results: Service 1 Service 2 Service revenue $ 85,000 $ 25,000 Unit-level materials $ (21,000 ) $ (3,000 ) Unit-level labor $ (31,000 ) $ (15,000 ) Product-level selling & administrative costs $ (11,000 ) $ (4,500 ) Company wide facility-level costs $ (6,000 ) $ (6,000 ) Net income (loss) $ 16,000 $ (3,500 ) If the company stops providing Service 2: a.The company's income will decrease by $2,500 per year. b.The company's income will increase by $2,500 per year. c.The company's income will increase by $3,500 per year. d.The company's income will decrease by $3,500 per year.
- Carica Company is a manufacturer with two production departments (Machining and Assembly) as well as two support departments (Materials Requisitions and Utility Services).For the last quarter of 2020, Carica’s cost records indicate the following: SUPPORT PRODUCTIONMaterials Requisitions(MR)Utility Services(US)Machining Assembly TotalBudgeted overhead costs before any interdepartment cost allocations$200,000 $1,000,000 $5,456,000 $7,458,000 $14,114,000Support work supplied by MR (Number of requisitions)0 25% 40% 35% 100%Support work supplied by US (Power costs)10% 0 30% 60% 100%Required:1. Allocate the two support departments’ costs to the two operating departments using the following methods: a. Direct method b. Step-down method (allocate MR first) c. Step-down method (allocate US first) d. The Algebraic method. 2. Compare and explain differences in the support-department costs allocated to each production department. 3. What approaches might be used to decide the sequence in which to…BBC Company has two service departments (A and B) and two producing departments (C and D). Last year, direct costs were A $80,000; B $66,000; C $15,000 and D $20,000. A provides services to B 10%, C 60% and D 30% while B provides services to A 30%, C 20% and D 50%. Using the algebraic method, Dept. A's allocation to Dept. C was $14,021 $21,031 $61,732 $60,619Memorial Services, Incorporated (MSI) has three service departments (IT, Accounting, and HR) and two production departments (West and East). The usage data for each of the service departments for the previous period follow: IT Accounting HR West East IT -- 0% 20% 40% 40% Accounting 0% -- 0% 40% 60% HR 10% 10% -- 60% 20% The direct costs of the service departments in the previous period were $91,000 for IT, $116,000 for Accounting, and $155,000 for HR. Required: Use the step method to allocate the service department costs to the two production departments. Allocate HR costs first, followed by IT, and then Accounting. Note: Amounts to be deducted should be indicated by a minus sign. IT Accounting HR West East Service department costs $ 0 HR allocation IT allocation Accounting allocation Total costs allocated $ 0 $ 0 $ 0 $ 0 $ 0 Need help please