Sequential distribution of service department costs}

A manufacturing company has two service and two production departments. Building Maintenance and Factory Office are the service departments. The production departments are Assembly and Machining.

The following data have been estimated for next year's operations:

Transcribed Image Text:

Direct labor hours: Floor space occupied: Assembly, 80,000; Machining, 40,000 Factory Office, 10%; Assembly, 50%; Machining, 40%