Question: Using the direct method, rework requirement 1. Using the direct method, allocate support-department costs. (Round cost allocations to the nearest whole dollar. Use parentheses or
Using the direct method, rework requirement 1.
Using the direct method, allocate support-department costs. (Round cost allocations to the nearest whole dollar. Use parentheses or a minus sign when decreasing departments by allocating costs.)
| Support Departments | Operating Departments | |||||||
| General | Cafeteria | |||||||
| Bldg and | Plant | Operating | ||||||
| Grounds | Personnel | Admin. | Loss | Storeroom | Machining | Assembly | ||
| Costs incurred | 45000 | 675 | 30870 | 810 | 8864 | 36600 | 48000 | |
| Allocation of costs: | ||||||||
| Building and grounds | (45000) |
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