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Accounting
Please complete in excel
Download the file to complete the answer in Excel, then upload your file in the answer box Support Department Cost Allocation Fillory Illusion, Inc has two support departments, Human Resources and Janitorial, and two revenue departments, Entertainment and Protection. All costs are regarded as strictly variable. For November, the following is available: Revenue Departments Support Department Human Resources Entertainment Protection Janitorial $20,000 Direct Costs $ 67,000 $ 128,000 $ 115,000 Actual Activity: Employees 5 20 5 Service Hours 120 510 170 REQUIRED: 1. If the company uses the direct method for allocating support department costs to revenue departments, what is the total cost allocated to Entertainment? What is the total cost allocated to Protection? 2. Assume the company uses the step method for allocating support department costs to revenue departments. The company begins with allocating the Human Resources Department cost first. What is the total cost allocated to Entertainment? What is the total cost allocated Protection? 3. Assume the company uses the algebraic (reciprocal) method for allocating support department costs to revenue departments. What are the equations that will determine the total cost of the support departments
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