is you have prepared in (1) and (2) above. This distribution of quality costs in the company. changes in the distribu- men over the last year. and any other information you believe would be useful to management PROBLEM ILA-15 Step-Down Method [LO9] mezsaint View Clime has three service departments-Food Services, Administrative Services, and X-ray enters The costs of these departments are allocated by the step-down method, using the allocation hess and in the order shown below: Service Department Costs Incurred Base for Allocation Food Services Variable Fixed Meals served Administrative Services . . .. Peak-period needs Variable Files processed Fixed 10% X-ray Services, 20% Outpatient Clinic, X-ray Services. . Variable 30% OB Care, and 40%% General Clinic X-rays taken Fixed Peak-period needs Estimated cost and operating data for all departments in the clinic for the forthcoming month are presented below: Food Admin. X-ray Outpatient OB General Services Services Services Clinic Care Clinic Total Variable costs $ 73,150 $ 6,800 $38,100 $11,700 $ 14,850 $ 53,400 $198.000 Fixed costs. . . 48,000 33.040 59,520 26.958 99,738 344.744 612.000 Total costs . $121,150 $39,840 $97,620 $38.658 $114,588 $398.144 $810.000 Meals served . ..... .. . 1,000 500 7.000 30,000 38.500 Percent of peak-period Food Services needs . .. 2% 1% 17% 80% 100% Files processed . 1,500 3.000 900 12.000 17.400 X-rays taken . . 1,200 350 8,400 9.950 Percent of peak-period X-ray Services needs. . . . .. . . 13% 3% 84% 100%Chapter 11 Reporting for Control All billing in the clinic is done through the Outpatient Clinic, OB Care, or General Clinic. The clinic's administrator wants the costs of the three service departments allocated to these three billing centres. Required: Prepare the cost allocation desired by the clinic administrator. Include under each billing centre the di- rect costs of the centre as well as the costs allocated from the service departments