Aparna, owner of Medi-Equipments Ltd., is interested in using the reciprocal allocation method. The following...
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Accounting
Aparna, owner of Medi-Equipments Ltd., is interested in using the reciprocal allocation method. The following data from the business were collected for analysis:
Budgeted manufacturing overhead costs:
Plant Maintenance PM (Support Dept) $362,505
Data Processing DP (Support Dept) $60,321
Machining M (Operating Dept) $210,000
Capping C (Operating Dept) $150,000
Services furnished:
By Plant Maintenance (budgeted labour-hours):
to Data Processing 3,503
to Machining 5,402
to Capping 7,880
By Data Processing (budgeted computer time):
to Plant Maintenance 790
to Machining 4,140
to Capping 500
What is the complete reciprocated cost of the Plant Maintenance Department?
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