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III Que Requirements Je Data table 1. Allocate the two support departments' costs to the two operating departments using the following methods: a. Direct

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III Que Requirements Je Data table 1. Allocate the two support departments' costs to the two operating departments using the following methods: a. Direct method b. Step-down method (Allocate AS first) c. Step-down method (Allocate IS first) 2. Compare and explain differences in the support-department costs allocated to each operating department. 3. What approaches might be used to decide the sequence in which to allocate support departments when using the step-down method? lbyd [en A B C D F F 1 SUPPORT OPERATING 2 AS IS GOVT CORP Total Budgeted overhead costs before any 3 interdepartment cost allocations $ 390,000 $1,200,000 $ 8,850,000 $ 12,550,000 $ 22,990,000 Support work supplied by AS 4 (budgeted head count) Support work supplied by IS 5 (budgeted computer time) 0 25% 45% 30% 100% 10% 0 36% 54% 100% Question 5 Print Done Direct Method Budgeted overhead costs before interdepartment cost allocations Allocation of AS costs Allocation of IS costs Total budgeted overhead of operating departments bth Print Done Support Departments Operating Departments AS IS GOVT CORP Total 390,000 1,200,0000 8,850,000 12,550,000 22,990,000 -390,000 -1,200,000 0 ble

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