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(Solved): Woodstock Binding has two service departments, IT (Information Technology) and HR (Human Resources ...



Woodstock Binding has two service departments, IT (Information Technology) and HR (Human Resources), and two operating departUse the step method to allocate the service costs, using the following:
The order of allocation starts with \( \mathrm{HR} \)

Woodstock Binding has two service departments, IT (Information Technology) and HR (Human Resources), and two operating departments, Publishing and Binding. Management has decided to allocate IT costs on the basis of IT Tickets (issued with each IT request) in each department and \( \mathrm{HR} \) costs on the basis of employees in each department. The following data appear in the company records for the current period: Required: Use the step method to allocate the service costs, using the following: a. The order of allocation starts with IT. b. The order of allocation starts with HR. Complete this question by entering your answers in the tabs below. Use the step method to allocate the service costs, using the following: The order of allocation starts with IT. Note: Amounts to be deducted should be indicated by a minus sign. Do not round intermediate calculations. Use the step method to allocate the service costs, using the following: The order of allocation starts with \( \mathrm{HR} \). Note: Amounts to be deducted should be indicated by a minus sign. Do not round intermediate calculations.


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A . Order of allocation starts with IT Allocation ratio from IT to HR, Publishing and binding is = 1,200: 1,200: 3,600 = 1: 1: 3 (simplified) Costs to allocate= 152,000 Allocation ratio from HR to Publishing and bin
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