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Required information [The following information applies to the questions displayed below.] The following information is departmental cost allocation with two service departments and two production

Required information

[The following information applies to the questions displayed below.]

The following information is departmental cost allocation with two service departments and two production departments.

Percentage Service Provided to

Department Cost S1 S2 P1 P2
Service 1 (S1) $ 30,000 0 % 30 % 35 % 35 %
Service 2 (S2) 20,000 20 0 20 60
Production 1 (P1) 100,000
Production 2 (P2) 150,000

What is the total cost in P1 and in P2 after allocation using the direct method?

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