Activity and selected costs for three production departments (Training, Independent, and Commercial) and two service departments (Accounting and Facilities) at DuBay Films for the past month follow: Supplying Department Accounting Facilities Direct cost From: Service department costs Accounting Facilities Total allocations Accounting Direct costs Total costs 0 0.10 $ 100,000 Required: Allocate service department costs to Training, Independent, and Commercial using the reciprocal method. What are the total costs of Training, Independent, and Commercial after this allocation? Note: Amounts to be deducted should be indicated by a minus sign. Do not round intermediate calculations. Round your final answers to the nearest whole dollar amounts. Accounting $ Facilities 0.40 0 $ 139,500 $ 0 $ 0 $ Using Department Training 0.30 0.30 $240,000 Facilities Cost Allocation To: Training 0$ Independent 0.20 0.10 $ 192,000 0 $ 0 $ Independent Commercial 0.10 0.50 $ 278,000 0 $ 0 $ 0 $ Commercial 0 0

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
icon
Concept explainers
Topic Video
Question
Activity and selected costs for three production departments (Training, Independent, and Commercial) and two service departments
(Accounting and Facilities) at DuBay Films for the past month follow:
Supplying Department
Accounting
Facilities
Direct cost
From:
Service department costs
Accounting
Facilities
Total allocations
Accounting
0
0.10
$ 100,000
Direct costs
Total costs
Required:
Allocate service department costs to Training, Independent, and Commercial using the reciprocal method. What are the total costs of
Training, Independent, and Commercial after this allocation?
Note: Amounts to be deducted should be indicated by a minus sign. Do not round intermediate calculations. Round your final
answers to the nearest whole dollar amounts.
Accounting
$
Facilities
0.40
0
$ 139,500
$
0 $
10 $
Using Department
Training
0.30
0.30
$ 240,000
Facilities
Independent
0.20
0.10
192,000
Cost Allocation To:
Training
0 $
0 $
0 $
Independent
Commercial
0.10
0.50
$ 278,000
0 $
Commercial
0 $
0 $
0
0
Transcribed Image Text:Activity and selected costs for three production departments (Training, Independent, and Commercial) and two service departments (Accounting and Facilities) at DuBay Films for the past month follow: Supplying Department Accounting Facilities Direct cost From: Service department costs Accounting Facilities Total allocations Accounting 0 0.10 $ 100,000 Direct costs Total costs Required: Allocate service department costs to Training, Independent, and Commercial using the reciprocal method. What are the total costs of Training, Independent, and Commercial after this allocation? Note: Amounts to be deducted should be indicated by a minus sign. Do not round intermediate calculations. Round your final answers to the nearest whole dollar amounts. Accounting $ Facilities 0.40 0 $ 139,500 $ 0 $ 10 $ Using Department Training 0.30 0.30 $ 240,000 Facilities Independent 0.20 0.10 192,000 Cost Allocation To: Training 0 $ 0 $ 0 $ Independent Commercial 0.10 0.50 $ 278,000 0 $ Commercial 0 $ 0 $ 0 0
Expert Solution
steps

Step by step

Solved in 3 steps

Blurred answer
Knowledge Booster
Costing Systems
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education