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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
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 toithe other departments is shown below FROM TO Design Support DesignSupport AssemblyFinishing 1096 096 20% 35% 70% 45% 096 20% The direct operating costs of the departments (including both variable and fixed costs) were as follows: Design Engineering Support Assembly Finishing $111,040 $109,990 $433,000 $664,000 $1,318,030 The total cost accumulated in the finishing department using the step method s $709,291 $52,979 $812,234 $505,796 $809,843
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