Question: Please solve the reciprocal method and show your work Before we can allocate the support departments' costs to the two operating departments using the reciprocal
Please solve the reciprocal method and show your work


Before we can allocate the support departments' costs to the two operating departments using the reciprocal method, let's first determine the linear equati HR= $80,000 0.10000 IS + IS= $229,000 + 0.20000 HR Now allocate the support departments' costs (human resources and information systems) to the two operating departments using the reciprocal method. ( Support Deparments Operating Departments Costs incurred $ HR Info. Systems Corporate Consumer Total 80,000 $ 229,000 $ 996,000 $ 481,000 $ 1,786,000 (105,000) 21,000 50,400 33,600 25,000 (250,000) 157,500 67,500 Allocation of HR costs Allocation of Info. Systems costs $ 0 $ 0 $ 1,203,900 $ 582,100 $ 1,786,000 Total budgeted costs 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 Support Departments Operating Departments Reciprocal Method HR Info. Systems Corporate Consumer Total Budgeted overhead costs before interdepartment cost allocations $ 80,000 $ 229,000 $ 996,000 $ 481,000 $ 1,786,000 First allocation of HR costs (52500) 10500 25200 16800 239500 First allocation of Info. Systems costs 12500 (125000) 78750 33750 Second allocation of HR costs (52500)| 10500 252001 16800 Second allocation of Info. Systems costs 12500 (125000) 78750 33750 Data Table Support Departments Human Information Resources Systems Operating Departments Corporate Consumer Sales Sales $ 80,000 $ 229,000 $ 996,000 $ 481,000 Budgeted costs incurred before any interdepartment cost allocations Support work supplied by human resources department Budgeted number of employees Support work supplied by information systems department Budgeted processing time in minutes) 20 48 32 400 2,520 1,080 Print Done
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