Bryant Company uses the reciprocal services method to allocate support department costs and has provided the following information. What is the total Janitorial Department cost using the reciprocal services method? Janitorial Department Usage Cafeteria 50% Cutting Assembly 10% 40% Cafeteria Department Usage Janitorial 20% Cutting Assembly 60% 20% Janitorial Department costs are $450,000. Cafeteria Department costs are $250,000,

Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter7: Allocating Costs Of Support Departments And Joint Products
Section: Chapter Questions
Problem 30E: A company uses charging rates to allocate service department costs to the using departments. The...
icon
Related questions
icon
Concept explainers
Topic Video
Question
Bryant Company uses the reciprocal services method to allocate support department costs and has
provided the following information. What is the total Janitorial Department cost using the reciprocal services
method?
Janitorial Department Usage
Cafeteria
50%
Cutting
Assembly
10%
40%
Cafeteria Department Usage
Janitorial
20%
Cutting
Assembly
60%
20%
Janitorial Department costs are $450,000.
Cafeteria Department costs are $250,000.
Transcribed Image Text:Bryant Company uses the reciprocal services method to allocate support department costs and has provided the following information. What is the total Janitorial Department cost using the reciprocal services method? Janitorial Department Usage Cafeteria 50% Cutting Assembly 10% 40% Cafeteria Department Usage Janitorial 20% Cutting Assembly 60% 20% Janitorial Department costs are $450,000. Cafeteria Department costs are $250,000.
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Costing Systems
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Cornerstones of Cost Management (Cornerstones Ser…
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Managerial Accounting
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Principles of Accounting Volume 2
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College