Babylon Company has two service departments, the Maintenance Department and the IT Department. It has also two production departments, the Blending department and the Packaging Department. The usage of the two service departments output for the year is as follows:

	Provider of Service
User of Service	Maintenance	IT
Maintenance	-	10 %
IT	15 %	-
Blending	30 %	40%
Packaging	55 %	50%

The budgeted costs in the two service departments for the year as follows:

Maintenance: $ 300,000

IT: $ 220,000

Use a.) direct method, b.) step-down method and c.) reciprocal services method to allocate the budgeted costs of Maintenance and IT departments.