Check my work Problem 4-6 Step-Down Method versus Direct Method; Predetermined Overhead Rates (LO4-10, LO4- 11] points The Sendai Co., Ltd., of Japan has budgeted costs in its various departments as follows for the coming year: eBook Factory Administration Custodial Services Personnel Maintenance Machining-overhead Assembly-overhead Total cost $ 766,800 275,640 38,300 55,860 922,200 777, 809 $2,836,600 Print References The company allocates service department costs to other departments in the order listed below. Department Factory Administration Custodial Services Personnel Maintenance Machining Assembly Square Total Feet of Direct Number of Labor- Space Labor- Machine- Employees Hours Occupied Hours Hours 28 - 14,200 8,000 2,300 18 19,400 11,100 52,100 19,500 60,000 140,000 101,000 140,000 160 180,000 40,000 234,000 40,000 209 319,500 227,100 335,000 180,000 51 40 Machining and Assembly are operating departments, the other departments are service departments. Factory Administration is allocated based on labor-hours: Custodial Services based on square feet occupied; Personnel based on number of employees; and Maintenance based on machine-hours. Check my work IVIUILILETTUntEnustu VIIIULILIE TUIS. 10 points Required: 1. Allocate service department costs to consuming departments by the step-down method. Then compute predetermined overhead rates in the operating departments using machine-hours as the allocation base in Machining and direct labor-hours as the allocation base in Assembly. 2. Repeat (1) above, this time using the direct method. Again compute predetermined overhead rates in Machining and Assembly. 3. Assume that the company doesn't bother with allocating service department costs but simply computes a single plantwide overhead rate that divides the total overhead costs (both service department and operating department costs) by the total direct labor-hours. Compute the plantwide overhead rate. 4. Suppose a job requires machine and labor time as follows: eBook Machine- Hours 210 Direct Labor- Hours Print 33 80 Machining Department Assembly Department Total hours 13 223 113 References Using the overhead rates computed in (1), (2), and (3) above, compute the amount of overhead cost that would be assigned to the job if the overhead rates were developed using the step-down method, the direct method, and the plantwide method. Complete this question by entering your answers in the tabs below Check my LOUUT Hours MdLille- Hours 210 13 33 Machining Department Assembly Department Total hours 223 80 113 points Using the overhead rates computed in (1), (2), and (3) above, compute the amount of overhead cost that would be assigned to the job if the overhead rates were developed using the step-down method, the direct method, and the plantwide method. eBook Complete this question by entering your answers in the tabs below Print Required 1 Required 2 Required 3 Required 4 References Using the overhead rates computed in (1), (2), and (3) above, Compute the amount of overhead cost that would be assigned to the job if the overhead rates were developed using the step-down method, the direct method, and the plantwide method. (Do not round intermediate calculations. Round "Predetermined overhead rates" to 2 decimal places and other final answers to the nearest whole dollar amount.) Show less Overhead Cost Step-down method $ 2,656 Direct method $ 2,567 Plantwide method