A. The Grey Manufacturing Company has two service departments: Maintenance and Accounting. The Maintenance Department's costs of $300,000 are allocated on the basis of machine hours. The Accounting Department's costs of $120,000 are allocated on the basis of the number of employees within a specific department. The direct departmental costs for A and B are $300,000 and $500,000, respectively.

	Maintenance	Accounting	A	B
Machine hours	480	20	2,300	200
Number of employees	2	2	8	4

What are the total service department costs allocated to Department A using the step method if the maintenance department costs are allocated first?