Lee Corporation distributes its service department overhead costs directly to producing departments without allocation to the other service departments. Information for January is presented here.

Maintenance Utilities

Overhead costs incurred $$18,700$ $$9,000$

Service provided to:

Maintenance Dept. $10\%$

Utilities Dept. $20\%$

Producing Dept. A $40\%30\%$

Producing Dept. B $40\%60\%$

Refer to Lee Corporation. Using the step method, how much of Lee Corporation$$s Utilities Department cost is allocated between Departments A and B$?$

Select one:

a$.$ $$9,900$

b$.$ $$10,800$

c$.$ $$12,740$

d$.$ $$27,700$