employees are as follows: Personnel Department Engineering Department Producing Department No. 1 Producing Department No. 2 Total Employees Employees 30 90 590 290 1,000 (Appendix 11A) Total costs in the Personnel Department are $900,000 per year. Under the step-down method, the costs of the Personnel Department are allocated before the costs of the Engineering Department are allocated. What would be the amount of this cost allocated to the Engineering Department under the step-down method, rounded to the nearest dollar? $0. $81,000. $83,505. $92,046. $32,000 $13,000 $11,000 Systems development Final product testing and inspection Quality data gathering, analysis, and reporting Net cost of scrap Returns arising from quality problems Amortization of test equipment Rework labour and overhead Test and inspection of incoming materials Product recalls $62,000 $59,000 $57,000 $18,000 $40,000 $36,000 (Appendix 11A) What will be the total internal failure cost appearing on the quality cost report? $54,000 $75,000. $80,000 $121,000