The following information about Monfort Manufacturing is available:
Using the reciprocal method,the cost allocated from Training Department to Polishing Department is:

Question

Quizplus · Accepted Answer

To use the reciprocal method, we need to calculate a reciprocal of the usage percentage for each department. 
Reciprocal of Training Department's usage percentage = 1/40% = 2.5
Reciprocal of Polishing Department's usage percentage = 1/60% = 1.667
The cost allocated from Training Department to Polishing Department= $250,000 x 1.667 x 2.5 = $104,167 (rounded to the nearest dollar)

Therefore, the best choice is B.

The Following Information About Monfort Manufacturing Is Available