Patterson Lawn Co. is the primary provider of lawn care maintenance in the city of Jasper. The Company has two operating departments, one that performs lawn care services for commercial properties and one that services residential properties. Both operating departments are supported by two service departments, administrative and machine maintenance. Costs for each of these supporting departments are as follows: Administrative $150,000 Machine Maintenance $225,000 Total cost The following estimates that are related to the operating departments as follows: # of employees # of customers # of billable hours Total overhead cost Commercial properties 40 125 3,000 $425,000 Residential properties 20 160 2,800 $350,000 Total 60 285 5,000 $775,000 *Note that total overhead cost includes costs allocated from service departments and other overhead costs The Company uses the direct method to allocate service department cost to the operating departments. In order to allocate administrative costs, the Company has elected to use the # of employees as the cost driver. To allocate machine maintenance costs, the Company uses the # of billable hours as the cost driver. Based on the information provided, how much of the administrative cost will be allocated to the residential properties operating department? Multiple Choice $100,000 $150,000 oooo $120,000 $50,000