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Video of Allocating Service Department Costs, Reciprocal Method, Video 1 in Managerial Accounting course by Else Grech Accounting channel, video No. 27 free certified online
This video starts the process of allocating service (support) department costs using the reciprocal method. In this video I demonstrate how to calculate simultaneous equations for a company with two service (support) departments and two operating departments.
Here is a link to the problem:
https://www.dropbox.com/s/ckjac87e4yqxlgd/Service%20Department%20Cost%20Allocation%20Example%201.docx?dl0
Thanks for watching!
Else