Robinson Products Company has two service departments (S1 and S2) and two production departments (P1 and P2). The distribution of each service department's efforts (in percentages) to the other departments is: From $1 52 S1 20% The direct operating costs of the departments (including both variable and fixed costs) are: $ 200,000 73,000 60,000 170,000 S1 52 P1 P2 To 52 20% P1 30% ? 2. Step method. 3. Reciprocal method. P2 ?% 40 Required: Determine the total cost (including direct operating costs) of P1 and P2 using the: 1. Direct method.
Robinson Products Company has two service departments (S1 and S2) and two production departments (P1 and P2). The distribution of each service department's efforts (in percentages) to the other departments is: From $1 52 S1 20% The direct operating costs of the departments (including both variable and fixed costs) are: $ 200,000 73,000 60,000 170,000 S1 52 P1 P2 To 52 20% P1 30% ? 2. Step method. 3. Reciprocal method. P2 ?% 40 Required: Determine the total cost (including direct operating costs) of P1 and P2 using the: 1. Direct method.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question

Transcribed Image Text:Robinson Products Company has two service departments (S1 and S2) and two production departments (P1 and P2). The distribution of
each service department's efforts (in percentages) to the other departments is:
From
S1
52
52
P1
20% 30%
?
The direct operating costs of the departments (including both variable and fixed costs) are:
S1
S1
S2
P1
P2
-
20%
$ 200,000
73,000
60,000
170,000
To
2. Step method.
3. Reciprocal method.
Required: Determine the total cost (including direct operating costs) of P1 and P2 using the:
1. Direct method.
Required 1 Required 2
P2
Production department 1
Production department 2
?%
Answer is not complete.
Complete this question by entering your answers in the tabs below.
40
$
$
Determine the total cost of P1 and P2 using the direct method. (Do not round intermediate calculations.)
Total Cost
Allocated
Required 3
180,000 X
184,600 x
Expert Solution

This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 5 steps

Knowledge Booster
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.Recommended textbooks for you


Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,

Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,


Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,

Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,

Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON

Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education

Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education