1. Reciprocal Method

   Eilers Company has two producing departments and two support departments. The following budgeted data pertain to these four departments:

   	Support Departments		Producing Departments
   	General Factory	Receiving	Assembly	Finishing
   Direct overhead	$400,000	$150,000	$45,000	$71,000
   Square footage		2,700	5,400	5,400
   Number of receiving orders	300		1,680	1,020
   Direct labor hours			25,000	40,000

   Required:

   1. Allocate the overhead costs of the support departments to the producing departments using the reciprocal method. (Round allocation ratios to two decimal places. Round allocated costs to the nearest dollar. If an amount is zero, enter "0".)

   Allocation ratios:

   	General Factory	Receiving	Assembly	Finishing
   Square footage
   Number of receiving orders

   Allocations:

   	General Factory	Receiving	Assembly	Finishing
   Direct overhead cost	$	$	$	$
   General Factory
   Receiving
   Total	$	$	$	$

   2. Using direct labor hours, compute departmental overhead rates. (Round to the nearest cent.)

   	Overhead Rate
   Assembly	$ per direct labor hour
   Finishing	$ per direct labor hour

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