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MBA, Ph.D in Management
Harvard university
Feb-1997 - Aug-2003
Professor
Strayer University
Jan-2007 - Present
Off The Wall Canine Rescue has two Operations departments (local and national) and three
service departments (Rescue Intake, Training, and Grooming). During July, the following costs
and service department usage ratios were recorded:
Supplying
Departmen
t
Rescue
Intake
Training
Grooming
Direct cost Using Department
Rescue Intake Training 0 60% 15%
0
$52,000 0
20%
298,00
$
0 Grooming
0
10%
0
$45,000 Local National 20% 20% 50%
20%
255,00
$
0 25%
60%
90,00
$
0 Required:
Allocate the service department costs to the two operations departments using the reciprocal
method. (Do not round intermediate calculations.)
Allocated to:
Costs Local National
Rescue Intake
Training
Grooming
Total $0 $0
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