Parker Corporation has two service departments, Cafeteria and Engineering, and two operating departments. The number of employees in each department is given below: Cafeteria Engineering Operating Department 1 Operating Department 2 10 40 500 200 The costs of the Cafeteria are allocated to other departments on the basis of the number of employees in the departments. If these costs are budgeted at $69,375, the amount of Cafeteria cost allocated to Engineerind under the direct method would be closest to: a. $3,750 b. $3,700 c. $0 d. $17,344 The step-down method ultimately results in less total cost being allocated to operating departments than the direct method. Select one: True False