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Ignatius college has provided the following data for use in Service department cost allocations:- Budgeted Department cost Student credit hours Space occupied sqm Service

Ignatius college has provided the following data for use in Service department cost allocations:- Budgeted Department cost Student credit hours Space occupied sqm Service Departments Admin $2,070,000 30,000 Operating Departments Plant Services Undergrad $720,000 5,000 $23,650,000 40,000 250,000 Postgrad $2,980,000 5,000 50,000 Required Using the direct method, allocate the costs of the service departments to the two operating departments. Allocate the costs of the Administration department on the basis of student credit hours, and the cost of Plant Services on the basis of space occupied

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