CoursHeroTranscribedText: University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing...
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CoursHeroTranscribedText: 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 Printing Developing Machine-hours 1,000 1,000 3,000 Labor-hours 500 500 2,000 Department direct costs $ 5,000 $12,000 $15,000 $10,000 Required: Allocate the service department costs using the reciprocal method. (Matrix algebra is not required because there are only two service departments.) (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations.) Service department costs __m_ ____ ____ ____
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