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Pompeo Inc. has two support departments (IT and administration) and two operating departments (assembly and finishing). The following information has been provided: Overhead costs -

Pompeo Inc. has two support departments (IT and administration) and two operating departments (assembly and finishing). The following information has been provided:

Overhead costs - IT: $75,000

IT services provided to: Administration - 15%; Assembly - 55%; Finishing - 30%

Overhead costs - Administration: $55,000

Administration services provided to: IT - 25%; Assembly - 35%; Finishing - 40%

If the direct method is used, how much IT cost would be allocated to the finishing department?

Question 8 options:

$25,667

$26,471

$11,250

$41,250

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