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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 efforts to
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 Design Support Assembly Finishing 60% 5% 0% 20% 10% 0% 30% 45% The direct operating costs of the departments (including both variable and fixed costs) were as follows Design Engineering Support Assembly Finishing $ 180,000 $ 200,000 $ 710,000 $1,080,000 The total cost accumulated in the finishing 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)
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