Reference no: EM132893392

Question - Robinson Products Company has two service departments (S1 and S2) and two production departments (P1 and P2). The distribution of each service department's efforts (in percentages) to the other departments is:

From To

S1S2P1P2S1- 20% 30% ?%S220% - ? 40

The direct operating costs of the departments (including both variable and fixed costs) are:

S1$200,000S2 73,000P1 60,000P2 170,000

Required -

1. Determine the total cost of P1 and P2 using the direct method.

2. Determine the total cost of P1 and P2 using the step method.

3. Determine the total cost of P1 and P2 using the reciprocal method.