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ASU Manufacturing Company has two production departments, Machining and Assembly, and two service departments, Maintenance and Cafeteria. Direct costs for each department and the proportion
ASU Manufacturing Company has two production departments, Machining and Assembly, and two service departments, Maintenance and Cafeteria. Direct costs for each department and the proportion of service costs used by the various departments for the month of December follow: Proportion of Services used by Department Machining.. $99,000 Direct Costs Maintenance Cafeeria Machining Assembly .64,400 ...40,000 0.3 Maintenance.... Cafeteria. Compute the allocation of service department costs to producing departments using the direct 0.2 0.5 0.8 0.1 0.1 method
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