TB MC Qu. 11-53 (Algo) Cordner Corporation has two production departments Cordner Corporation has two production...

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TB MC Qu. 11-53 (Algo) Cordner Corporation has two production departments Cordner Corporation has two production departments, P1 and P2, and two service departments, S1 and S2. Direct costs for each department and the proportion of service costs used by the various departments for the month of July are as follows: Proportion of Services Used by: Department $1 Direct costs S1 $2 P1 P2 $150,000 0.70 0.10 0.20 $2 $182,000 0.20 0.30 0.50 P1 $226,000 P2 $142,000 Under the step method of cost allocation, the amount of $2 costs allocated to S1 would be: Multiple Choice $72,800. $0. $36,400. TB MC Qu. 11-53 (Algo) Cordner Corporation has two production departments Cordner Corporation has two production departments, P1 and P2, and two service departments, S1 and S2. Direct costs for each department and the proportion of service costs used by the various departments for the month of July are as follows: Proportion of Services Used by: Department $1 Direct costs S1 $2 P1 P2 $150,000 0.70 0.10 0.20 $2 $182,000 0.20 0.30 0.50 P1 $226,000 P2 $142,000 Under the step method of cost allocation, the amount of $2 costs allocated to S1 would be: Multiple Choice $72,800. $0. $36,400.