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Barstow Manufacturing Company has two service departments- product design and engineering support, and two production departments- assembly and finishing. The distribution of each service department's
Barstow Manufacturing Company has two service departments- product design and engineering support, and two production departments- assembly and finishing. The distribution of each service department's efforts to the other departments is shown below FROM TO Design Support Assembly Finishing Design Support 0% 10% 30% 45% 60% 35% 20% 0% The direct operating costs of the departments (including both variable and fixed costs) were as follows Design Engineering Support $360,000 Assembly Finishing $ 340,000 $1,350,000 $2,040,000 The total cost accumulated in the assembly department using the step method is (calculate all ratios and percentages to 4 decimal places, for example 33.3333%, and round all dollar amounts to the nearest whole dollar, assume that the design department goes first) $2,416,375. $4,090,000 $1,633,625. $1,680,291. $1,673,625
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