Question 1 Razox manufactures razors and razor blades in two main production departments: Razors and Blades. Razox also has two service departments: Human Resources and Information Technology. The usage of the two service departments' output for the year is as follows: Provider of Service User of Service Human Resources Human Resources Information Technology Razors Blades - Information Technology 55% 60% - 20% 20% 25% 20% The budgeted costs in the two service departments, Human Resources and Information Technology, are as follows for the year: Human Resources Information Technology 700,000 300,000 REQUIRED: (a) Identify and discuss the main differences between the direct and the step-down method of service department cost allocation. (10 marks)