Allocating service department costs (adapted from CPA exam). The Excel Company has three service departments (administration, maintenance, and computer support)

and two production departments (creative and assembly). A summary of costs and other data for each department prior to allocation of service department costs for the year ended June 30, Year I, follow:

Excel allocates the costs of the administration, maintenance, and computer services departments on the basis of direct labor hours, square footage occupied, and number of computers, respectively. Round all final calculations to the nearest dollar.

a. Assuming that Excel elects to distribute service department costs directly to production departments without interservice department cost allocation, what amount of maintenance department costs would Excel allocate to the creative department?

b. Assuming the same method of allocation as in part a., what amount of administration department costs would Excel allocate to the assembly department?

c. Assuming that Excel elects to distribute service department costs to other service departments (starting with the computer support department) as well as the production departments, what amounts of computer support department costs would Excel allocate to t he maintenance department? (Note: Once the firm has allocated a service department's costs, no subsequent service department costs are allocated back to it.)

d. Assuming the same method of allocation as in part c., what amount of maintenance department costs would Excel allocate to the computer support department?

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Computer Administration Maintenance Support Creative Assembly Direct Material Costs. $65,000 $91,000 $3,130,000 $ 950,000 Direct Labor Costs $90,000 $82,100 $87.000 $1,950,000 $2,050,000 Overead Costs $70,000 $56,100 $62,000 $1,650,000 $1,850,000 Direct Labor Hours 31,000 27,000 42,000 562,500 437,500 Number of Computers 12 8 20 280 200 Square Footage Occupied 1,750 2,000 4,800 88,000 72,000