Question: Interdepartment Services: Direct Method Wilhelm Manufacturing Company has five operating departments, two of which are producing departments (P1 and P2) and three of which are
Interdepartment Services: Direct Method Wilhelm Manufacturing Company has five operating departments, two of which are producing departments (P1 and P2) and three of which are service departments (S1, S2, and 53), All costs of the service departments are allocated to the producing departments. The following table shows the distribution of services from the service departments. Services provided Services Provided to from SI 52 51 52 53 P1 P2 1046 207 28% 42% 5 15 52 28 7 3 - 27 63 50 The direct operating costs of the service departments are as follows: 51 $ 150.000 52 80,000 sa 106.000 Using the step method, prepare a schedule for Wilhelm Manufacturing Company allocating the service department costs to the producing departments. (Round calculations to the nearest dollar.) Service Departments Producing Departments Total costs $ ovs OSOVS 164,586 5 51 52 53 P1 P2 156,414 X Check
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