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Chief Cleaning Inc. Provides cleaning services for a variety of clients. The company has two producing divisions. Residential and Commercial, and 2 service-departments. Personnel and
Chief Cleaning Inc. Provides cleaning services for a variety of clients. The company has two producing divisions. Residential and Commercial, and 2 service-departments. Personnel and Administrative. The company has decided to allocate all service-department costs to the producing departments. Personnel: on the basis of number of employees, and Administrative: on the basis of direct department costs. The budget shows the following: Assume the company uses direct method, allocate the service department costs. Use the allocation table given below. Now assume that the company uses step down method. How much administrative cost will be allocated to Commercial Department
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