Question
please show transactions clearly ABC Company has two service departments, the Maintenance Department, the IT Department and the HR Department. It has also two production
please show transactions clearly
ABC Company has two service departments, the Maintenance Department, the IT Department and the HR Department. It has also two production departments, the Cutting department and the mixing Department. The usage of the three service departments output for the year is as follows:
| Provider of Service |
| |
User of Service | Maintenance | IT | HR |
Maintenance | - | 10 % | 15 % |
IT | - | - | - |
HR | - | 5 % | - |
Cutting | 45 % | 45% | 30 % |
Mixing | 55 % | 40 | 55 % |
The budgeted costs in the three service departments for the year as follows:
Maintenance: $ 40,000
IT: $ 100,000
HR: $ 50,000
Use step-down method
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