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: Fron s1 52 $1 S2 s1 P1 P2 20% To $ 170,000 64,000 51,000 125,000 $2 P1 20% 30% 7 The direct operating costs of the departments (including both variable and fixed costs) are: P2 7% Required 1 Required 2 40 Required: 1. Determine the total cost of P1 and P2 using the direct method. 2. Determine the total cost of P1 and P2 using the step method. 3. Determine the total cost of P1 and P2 using the reciprocal method. Complete this question by entering your answers in the tabs below. Production department 1 Production department 2 Required 3 Determine the total cost of P1 and P2 using the direct method. (Do not round intermediate calculations.) Total Cost Allocated
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: Fron s1 52 $1 S2 s1 P1 P2 20% To $ 170,000 64,000 51,000 125,000 $2 P1 20% 30% 7 The direct operating costs of the departments (including both variable and fixed costs) are: P2 7% Required 1 Required 2 40 Required: 1. Determine the total cost of P1 and P2 using the direct method. 2. Determine the total cost of P1 and P2 using the step method. 3. Determine the total cost of P1 and P2 using the reciprocal method. Complete this question by entering your answers in the tabs below. Production department 1 Production department 2 Required 3 Determine the total cost of P1 and P2 using the direct method. (Do not round intermediate calculations.) Total Cost Allocated
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Cc.36.
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
$1
S2
S1
20%
The direct operating costs of the departments (including both variable and fixed costs) are:
$1
$2
P1
P2
$ 170,000
64,000
51,000
125,000
To
P1
$2
20% 30%
7
Required 1
P2
Required:
1. Determine the total cost of P1 and P2 using the direct method.
2. Determine the total cost of P1 and P2 using the step method.
3. Determine the total cost of P1 and P2 using the reciprocal method.
Required 2
7%
Complete this question by entering your answers in the tabs below.
40
Production department 1
Production department 2
Required 3
Determine the total cost of P1 and P2 using the direct method. (Do not round intermediate calculations.)
Total Cost
Allocated
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