Required information [The following information applies to the questions displayed below.] The following information is departmental cost allocation with two service departments and two production departments. Percentage Service Provided to Department Service 1 (S1) Service 2 (S2) Production 1 (P1) Cost $ 36,000 26,000 160,000 S1 0% 20 20 S2 P1 P2 40% 30% 30% 0 60 Production 2 (P2) 210,000 What is the total cost in P1 and P2 after allocation using the direct method? P1 P2 Total Cost

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Required information
[The following information applies to the questions displayed below.]
The following information is departmental cost allocation with two service departments and two production departments.
Percentage Service
Provided to
Department
Service 1 (S1)
Service 2 (S2)
Cost
$ 36,000
S1
S2
0%
26,000
20
0
20
P1 P2
40% 30% 30%
60
Production 1 (P1)
160,000
Production 2 (P2)
210,000
What is the total cost in P1 and P2 after allocation using the direct method?
P1
P2
Total Cost
Transcribed Image Text:Required information [The following information applies to the questions displayed below.] The following information is departmental cost allocation with two service departments and two production departments. Percentage Service Provided to Department Service 1 (S1) Service 2 (S2) Cost $ 36,000 S1 S2 0% 26,000 20 0 20 P1 P2 40% 30% 30% 60 Production 1 (P1) 160,000 Production 2 (P2) 210,000 What is the total cost in P1 and P2 after allocation using the direct method? P1 P2 Total Cost
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