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Required: Using the step-down method, allocate the service department costs to the operating departmen To see this question properly, hide the menu by clicking
Required: Using the step-down method, allocate the service department costs to the operating departmen To see this question properly, hide the menu by clicking on the icon (three horizontal lines) c a. How much cost will be allocated from Janitorial to Maintenance? 15093.75 b. How much is the total Binding Department cost after the allocations of service department costs 430087.5 c. How much is the total Printing Department cost after the allocations of service department costs? 650268.75 The Pearson's Publishing Company has three service departments and two operating departments. Selected data from a recent period on the five departments follow: Costs Number of employees Square feet of space occupied Hours of press time Service Departments Administration Janitorial Maintenance Operating Departments Binding Printing Total $145,000 $120,750 $55,200 $316,250 $494,500 $1,131,700 60 35 15,000 10,000 140 20,000 40,000 315 210 760 100,000 185,000 30,000 60,000 90,000 The company allocates service department costs by the step-down method in the following order: Administration (number of employees), Janitorial (space occupied), and Maintenance (hours of press time).
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