Question: Only Requirement 2 ????? please Data Table - $ Budgeted overhead costs before any interdepartment cost allocations Support work supplied by AS (budgeted head count)



Only Requirement 2 ????? please

Data Table - $ Budgeted overhead costs before any interdepartment cost allocations Support work supplied by AS (budgeted head count) Support work supplied by IS (budgeted computer time) SUPPORT OPERATING AS IS GOVT CORP Total 300,000 $ 2,400,000 $ 8,825,000 $ 12,580,000 $ 24,105,000 0 20% 48% 32% 100% 10% 0 36% 54% 100% Print Done Requirement 1a. Allocate the two support departments' costs to the two operating departments using the direct method. (Do not round inte Support Departments Operating Departments Direct Method AS IS GOVT CORP Total Budgeted overhead costs before interdepartment cost allocations 300,000 $2,400,000 S 8,825,000 $ 12,580,000 $ 24,105,000 Allocation of AS costs (300,000) 180,000 120,000 Allocation of Is costs (2,400,000) 960,000 1,440,000 Total budgeted overhead of operating departments 0$ O S 9,965,000 S 14,140,000 $ 24,105,000 Requirement 1b. Allocate the two support departments' costs to the two operating departments using the step-down method (Allocate AS zero balances.) Support Departments Operating Departments Step-down Method GOVT CORP Budgeted overhead costs before interdepartment cost allocations 300,000 $ 2,400,000 $ 8,825,000 $ 12,580,000 $ 24,105,000 Allocation of AS costs (300,000) 60.000 144,000 96,000 0 2,460,000 Allocation of Is costs (2,460,000) 984,000 1,476,000 Total budgeted overhead of operating departments O S 9,953,000 $ 14,152,000 $ 24, 105,000 AS IS Total Requirement 1c. Allocate the two support departments' costs to the two operating departments using the step-down method (Allocate IS first). (Do not zero balances.) Support Departments Operating Departments Step-down Method AS IS GOVT CORP Total Budgeted overhead costs before interdepartment cost allocations 300,000 $ 2,400,000 $ 8,825,000 $ 12,580,000 $ 24,105,000 Allocation of Is costs 240,000 (2,400,000) 864,000 1,296,000 540,000 Allocation of AS costs (540,000) 324,000 216,000 Total budgeted overhead of operating departments S10,013,000 S 14,092,000 $24,105,000 $ $ 0 $ S 0 Requirement 2. Compare and explain differences in the support department costs allocated to each operating department. Begin by entering the total support department costs allocated to each operating department under each of the methods below. GOVT CORP Direct method Step-down (AS first) Step-down (IS first)
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