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The Merchant Manufacturing Company has two service departments --- purchasing and maintenance, and two production departments - fabrication and assembly. The distribution of each service
The Merchant Manufacturing Company has two service departments --- purchasing and maintenance, and two production departments - fabrication and assembly. The distribution of each service department's efforts to the other departments is shown below. FROM TO Purchasing Maintenance Pabrication Assembly 150 750 100 55 Os 355 108 Purchasing Maintenance The direct operating costs of the departments (including both variable and fixed costs) were as follows: Purchasing Maintenance Fabrication Assembly $156,000 78,000 132,000 108,000 The total cost accumulated in the assembly department using the direct method is (calculate all ratios and percentages to 4 decimal places, for example 33.3333%, and round all dollar amounts to the nearest whole dollars
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