Company A's annual budget for its three support departments (SD1, SD2, and SD3) and its two producing departments (PD1 and PD2) follows:

	SD1	SD2	SD3	PD1	PD2	Total
Direct Labor	$700	$500	$900	$3800	$2000	$6900
Direct Material	70	200	90	400	1200	1960
Insurance	175	50	75	300	220	820
Depreciation	90	70	80	200	150	590
Miscellaneous	30	20	40	60	30	180
Total	$1065	$840	$1185	$3760	$3600	$10450
Number of Employees	40	20	30	200	150	440
SQ Ft of Floor Space	400	300	200	800	1000	2700
SD3 Hours	15	20	15	68	102	220

Required:

a. Prepare a cost distribution that allocated support department costs using the step method. assume the benefits-providing ranking is the order in which the departments are listed. the allocation bases for the support departments are (1) SD1: Number of Employees, (2) SD2: Floor Space, and (3) SD3: Number of Hours. Calculate the Factory Overhead Rates using 400,000 direct labor hours in PD1 and 300,000 hours in PD2. Round OH Rates to the nearest $0.10

b. Calculate the factory overhead rates per direct labor hours using the direct labor method. Round OH rates to the nearest $0.10

c. Calculate the factory overhead rates per direct labour hours using the algebraic method. Round percentages to three decimal points. Round OH Rates to the nearest $0.10.