Question 2 of 6 05/1 III View Policies Show Attempt History Current Attempt in Progress The Marx Company has three service departments, 51, 52, and S3, and two production departments. Pl and P2. The following data relate to Marx's allocation of service department costs Number of Employees Budgeted Costs $4,050,000 51 82 S2 2.700,000 53 53 2,430,000 37 P1 180 P2 270 Service department costs are allocated by the direct method. The number of employees is used as the allocation base for all service department costs (a) Your answer is correct Allocate service department costs to production departments Cost Allocated to Service Department Service dept Costs P1 P2 5 $ $4050.000 51 1620000 230000 5 S2 2.700.000 1620000 1000000 53 2.430.000 $ 972000 1458000 DO ga D FO SO :: F4 C % o? P OC (b) Calculate the total service department cost allocated to each production department Cost Allocated to Service dept Costs PS P2 Total cost Textbook and Media Am of und www 28 60 % 5 6 8 4 3 U o E R Y T G H J F D B M V N C f