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Caro Manufacturing has two production departments, Machining and Assembly, and two service departments, Maintenance and Cafeteria. Direct costs for each department and the proportion of

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Caro Manufacturing 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 August follow: Proportion of Services Used by Direct Cafeteria Machining Assembly Machining $135,000 69,000 54,000 39,000 Department Costs Maintenance Assembly Maintenance Cafeteria 0.1 0.6 8.6 0. 0.2 Required: Use the step method to allocate the service costs, using the following: a. The order of allocation starts with Maintenance. b. The allocations are made in the reverse order (starting with Cafeteria). Required A Required B The order of allocation starts with Maintenance. (Negative amounts should be indicated by a minus sign. Do not round Intermediate calculations.) To Maintenance Cafeteria Machining Assembly From Service department costs Maintenance Cafeteria Total Costs RaaturdA Required B > The allocations are made in the reverse order (starting with Cafeteria). (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations.) Maintenance Cafeteria Machining Assembly From Service department costs Cateteria Maintenance Total Costs

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