Memorial Services, Incorporated (MSI) has three service departments (IT, Accounting, and HR) and two production departments (West and East). The usage data for each of the service departments for the previous period follow: IT Accounting HR IT -- HR allocation Total costs allocated 0% 10% Service department costs IT allocation Accounting allocation Accounting 0% 10% The direct costs of the service departments in the previous period were $86,750 for IT, $99,000 for Accounting, and $112,500 for HR. Required: Use the direct method to allocate the service department costs to the production departments Note: Amounts to be deducted should be indicated by a minus sign. Do not round intermediate calculations. $ $ HR 20% 0% IT 86,750 $ 0 0 8,675 95.425 West 40% 40% 60% Accounting S East 40% 60% 20% 99,000 0 0 0 99,000 $ $ HR 112,500 0 112,500 $ West 0 $ East 0

Memorial Services, Incorporated (MSI) has three service departments (IT, Accounting, and HR) and two production departments (West and East). The usage data for each of the service departments for the previous period follow: The direct costs of the service departments in the previous period were $86,750 for IT, $99,000 for Accounting. and $112,500 for HR Required: Use the direct method to allocate the service department costs to the production departments Note: Amounts to be declucted should be indicoted by a minus sign. Do not round intermediate colculations