Exercise 11-29 (Algo) Cost Allocation: Direct Method (LO 11-2) University Printers has two service departments (Maintena

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Exercise 11 29 Algo Cost Allocation Direct Method Lo 11 2 University Printers Has Two Service Departments Maintena 1 (43.32 KiB) Viewed 34 times

Exercise 11-29 (Algo) Cost Allocation: Direct Method (LO 11-2) University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing). Management has decided to allocate maintenance costs on the basis of machine-hours in each department and personnel costs on the basis of labor-hours worked by the employees in each. The following data appear in the company records for the current period: Maintenance Personnel 1,100 Developing 3,300 Machine-hours Labor-hours Department direct costs 700 $ 6,000 Printing 1,100 700 $17,300 2,800 $16,000 $14,800 Required: Use the direct method to allocate these service department costs to the operating departments. (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations.) Maintenance Personnel Printing Developing Service department costs Maintenance allocation Personnel allocation Total costs allocated