Академический Документы
Профессиональный Документы
Культура Документы
Service Departments
Human
Resources Maintenance
0%
10%
2%
0%
Human Resources
$135,500
0%
5%
Maintenance
$308,000
Production Departments
Purchasing Machining
5%
35%
2%
0%
20%
60%
PreAllocation Costs
Purchasing Machining
$83,000
$1,325,275
Assembly
30%
Packaging
20%
Total
100%
36%
10%
40%
25%
100%
100%
Assembly
$750,400
Packaging
$602,395
In the past Human Resources costs have been allocated based on the number of positions, Maintenance
costs on the amount of square footage, and Purchasing costs on the number of purchase orders.
Number of
Positions
Square
Footage of
Department
Number of
Purchase
Orders
Placed for
Department
Human
Resources
Maintenance
Purchasing
Machining
Assembly
Packaging
10
10
40
30
25
120
1,000
2,500
500
25,000
12,500
10,000
51,500
25
300
50
75
450
Total
Using Excel compute the postallocation production department costs using the direct, stepdown, and
reciprocal allocation methods. After you finish your computations determine which system Clydes
Cycles should use. Justify your answer.
Submit the assignment as an Excel workbook using the name Excel Assignment 3_Your Last Name in the
Assignments section of our Canvas course site. The workbook should contain four worksheets titled:
Direct, StepDown, Reciprocal, and Recap.