Review Chapter 16 Gotham University offers only high-tech graduate-level programs, Gotham has two principal operating departments, Engineering and Computer Sciences, and two support departments, Facility Management (FM) and Technology Services (TS). The base used to allocate facility management is budgeted square footage. The base used to allocate technology services is service hours for a department. The Facility Management budget is $350,000, while the Technology Services budget is $950,000. The following chart summarizes budgeted amounts and allocation-base amounts used by each department: What amount of support-department costs for Facility Management (FM) and Technology Service (TS) will be allocated to Engineering (ENG) and Computer Sciences (CS) using a) Direct method, b) Step Down Method, and c) the reciprocal method using linear equations? b) Step-down Method Allocate FM first to all departments including TS and then TS to operating departments - this sequence is better since FM provides 25% of its service to TS while TS provides 4% of its service to FM