Ralph Co. has two support departments (S1 and s@) and two producing departments (P1 and P2). Department S1 costs are allocated on the basis of number of designs, and Department S2 costs are allocated on the basis of space occupied (in square feet). Direct Department Costs S1 S2 P1 P2 $7,600 $11,000 $27,500 $30,000 Number of Designs 10 5 20 25 Space Occupied (in square 1,000 500 1,500 2,500 feet) If Ralph uses the direct method, how much of the Department S2 costs were allocated to Department P1?

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Ralph Co. has two support departments (S1 and s@) and two
producing departments (P1 and P2). Department S1 costs are
allocated on the basis of number of designs, and Department S2
costs are allocated on the basis of space occupied (in square feet).
Direct Department Costs
S1
S2
P1
P2
$7,600 $11,000 $27,500 $30,000
Number of Designs
10
5
20
25
Space Occupied (in square 1,000 500
1,500
2,500
feet)
If Ralph uses the direct method, how much of the Department S2
costs were allocated to Department P1?
Transcribed Image Text:Ralph Co. has two support departments (S1 and s@) and two producing departments (P1 and P2). Department S1 costs are allocated on the basis of number of designs, and Department S2 costs are allocated on the basis of space occupied (in square feet). Direct Department Costs S1 S2 P1 P2 $7,600 $11,000 $27,500 $30,000 Number of Designs 10 5 20 25 Space Occupied (in square 1,000 500 1,500 2,500 feet) If Ralph uses the direct method, how much of the Department S2 costs were allocated to Department P1?
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