Question 8 Mikey and Mable Ltd. (MML) provides vacation planning for families. MML has two production departments, Planning and Touring, and two support departments, Call Lines and IT. MML is looking for assistance in allocating the costs of the support departments to the production departments. The Call Lines department is allocated based on phone hours, and the IT department is allocated based on the number of computer terminals. The following information is available for the most recent fiscal period: Support departments Production departments Call Lines IT Planning Touring Costs $225,000 $165,000 $345,000 $515,000 Phone hours 5,500 500 7,500 4,500 Computer terminals 35 5 6 50 15 Required: a) Using the direct method to allocate support costs, calculate the total costs for the Planning department. b) Using the step method to allocate support costs, allocating to IT first, calculate the total costs for the Touring department