Exercise 17-15 Direct Method of Service Department Cost Allocation; College (LO 17-1) Hudson Community College enrolls students in two departments, Liberal Arts and Sciences. The college also has two service departments, the Library and the Computing Services Department. The usage of these two service departments' output for the year is as follows: Provider of Service Computing Services User of Service Library Computing Services Liberal Arts Sciences Library 20% 40% The budgeted costs in the two service departments for the year are as follows: Library Corputing Services $680,000 270, 000 Required: 1. Use the direct method to allocate the budgeted costs of the Library and Computing Services Department to the college's Liberal Arts and Sciences departments. (Do not round intermediate calculations.) Provider of Service Liberal Arts Sciences Library Computing Services Total

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Exercise 17-15 Direct Method of Service Department Cost Allocation; College (LO 17-1)
Hudson Community College enrolls students in two departments, Liberal Arts and Sciences. The college also has two service
departments, the Library and the Computing Services Department. The usage of these two service departments' output for the year Is
as follows:
Provider of Service
Computing
Services
User of Service
Library
Computing Services
Liberal Arts
Sciences
Library
20%
60%
30%
50%
40%
The budgeted costs in the two service departments for the year are as follows:
Library
$680, 000
270, 000
Corputing Services
Required:
1. Use the direct method to allocate the budgeted costs of the Library and Computing Services Department to the college's Liberal
Arts and Sciences departments. (Do not round intermediate colculations.)
Provider of Service
Liberal Arts
Sciences
Library
Computing Services
Total
%24
Transcribed Image Text:Exercise 17-15 Direct Method of Service Department Cost Allocation; College (LO 17-1) Hudson Community College enrolls students in two departments, Liberal Arts and Sciences. The college also has two service departments, the Library and the Computing Services Department. The usage of these two service departments' output for the year Is as follows: Provider of Service Computing Services User of Service Library Computing Services Liberal Arts Sciences Library 20% 60% 30% 50% 40% The budgeted costs in the two service departments for the year are as follows: Library $680, 000 270, 000 Corputing Services Required: 1. Use the direct method to allocate the budgeted costs of the Library and Computing Services Department to the college's Liberal Arts and Sciences departments. (Do not round intermediate colculations.) Provider of Service Liberal Arts Sciences Library Computing Services Total %24
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