$1.$

Allocate the two support$$ departments' costs to the two operating departments using the following$$ methods:

a$.$

Direct method

b$.$

$$Step$-$down method$($Allocate AS$$ first$)$

c$.$

$$Step$-$down method$($Allocate IS$$ first$)$

$2.$

Compare and explain differences in the$$ support$-$department costs allocated to each operating department.

$3.$

What approaches might be used to decide the sequence in which to allocate support departments when using the$$ step$-$down method? Data Table