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Ignatius College has provided the following data to be used in its service department cost allocations: Departmental costs before allocations *Service Dept Administration: $2,070,000 Physical

Ignatius College has provided the following data to be used in its service department cost allocations:

Departmental costs before allocations

*Service Dept

Administration: $2,070,000

Physical Plant Services: $720,000

*Operating Dept

Undergrad programs: $23,650,000 Student Credit Hrs: 40,000

Graduate programs:$2,980,000 Student Credit Hrs: 5,000

Space Occupied in square feet

*Service Dept

Administration: 30,000

Physical Plan: 5,000

*Operating Dept

Undergrad programs: 250,000

Graduate programs: 50,000

Using the direct method allocate the costs of the service departments to the two operating departments.Allocate the costs of the Administration Dept on the basis of student credit-hours and the costs of the Physical Plant Service Dept on the basis of space occupied.

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