3 ACME alocates all service department costs directly to the production departments without allocation to other service departments. Show how much of the budgeted costs of each service department are allocated to Department A. Choose the most logical cost-allocation base for each service department. To plan your work, examine number 2 before undertaking this question. (Use parentheses or a minus sign when decreasing the department by allocating costs. For amounts with a 50 balance, make sure to enter "" in the appropriate cell. Do not round until your final answers, then round to the nearest dollar.)-80 total points for this question each answer is weighted equally. Fillout ALL relevant cells that need to be filled out Requirement 1 2 Requirement 2 1. ACME allocates all service department costs directly to the production departments without allocation to other service departments. Show how much of the budgeted costs of each service department are allocated to Department A. Choose the most logical cost-allocation base for each service department. To Lalan your work. examine number 2 before undertaking this question 2. The company has decided to use the step-down method of cost allocation Finance & Accounting would be allocated first, then gym, then cleaning. Gym employees work 76000 labor hours per year. There were 75 cleaning employees with 120000 total labor hours. For Deparment A, recompute the results in number Lusing the step-down method Cleaning 7 Gym Finance & Accounting 9 10 Table for Requirement 1 11 12 Production 13 Departments 14 A 25 16 C Budgeted Department Costs 19 Requirement 1 20 21 22 Direct dept costs before allocation 23 24 Finance & Accounting 25 26 Gym 27 28 Cleaning 29 30 Total cost after Allocation 31 32 33 $ 1,600,000.00 $ 550,000,00 S 1,980,000.00 Table for requirement 2 Cleaning Hours Production Departments Worked for Production Total Labor Employees Departments Hours of Department Cleaning Hours A 174 43400 361000 Worked for Production Total Labor 8400 437000 Employees Departments Hours of E 54 14200 $5.2000 174 43400 361000 348 8400 437000 58 18200 152000 Department A 15 B 16 C 17 18 19 Requirement 1 20 21 22 Direct dept. costs before allocation 23 24 Finance & Accounting 25 26 Gym 27 28 Cleaning 29 30 Total cost after Allocation 31 32 34 Requirement 2 35 36 37 Direct dept costs before allocation 38 39 Finance & Accounting 40 41 Gym 42 43 Cleaning 44 45 Total cost after Allocation 46 47 48 174 348 43400 361000 8400 437000 58 18200 152000 49 Hints 50 Cleaning charges each department by the hour of work 51 Its assumed that everyone in every department visits the gym three times a week for 2 hours 52 Finance services all departments in general 53 54 55 56 Department A Department A 18200 112000