Allocating Service Department Costs. Szabo Industries has two production departments (Finishing and Painting) and three service departments (Maintenance, Computer Support, and Personnel). Service department costs are allocated to production departments using the direct method. Maintenance allocates costs totaling $3,000,000 based on the square footage of space occupied by each production department. Computer Support allocates costs totaling $4,000,000 based on hours of computer support used by each production department. Personnel allocates costs totaling $2,500,000 based! on number of employees in each production department. Information for each production department follows. Production Department Finishing Painting Total Square Feet Occupied Computer Support Hours Number of Employees 10,000 21,000 70 30,000 39,000 180 40,000 60,000 250 Required: 1. Calculate the service department costs allocated to each production department. 2. Why do companies allocate service department costs to production departments? Direct Method Cost ce Maintenan Computer Support Personnel Finishing Painting Maintenance Square Footage Allocation% Allocated $ Computer Support Hours of computer support Allocation% Allocated $ Personnel Number of employees Allocation% Allocated $ Totals for Production Departments 2. Why do companies allocate service department costs to production departments