The Sendai Co., Ltd., of Japan has budgeted costs in its various departments as follows for the coming year:

Factory Administration	$	766,800
Custodial Services		275,640
Personnel		38,300
Maintenance		55,860
Machiningoverhead		922,200
Assemblyoverhead		777,800
Total cost	$	2,836,600

The company allocates service department costs to other departments in the order listed below.

Department	Number of Employees	Total Labor- Hours	Square Feet of Space Occupied	Direct Labor- Hours	Machine- Hours
Factory Administration	28		14,200
Custodial Services	12	8,000	2,300
Personnel	18	19,400	11,100
Maintenance	51	52,100	19,500
Machining	40	60,000	140,000	101,000	140,000
Assembly	160	180,000	40,000	234,000	40,000
	309	319,500	227,100	335,000	180,000

Machining and Assembly are operating departments; the other departments are service departments. Factory Administration is allocated based on labor-hours; Custodial Services based on square feet occupied; Personnel based on number of employees; and Maintenance based on machine-hours.

Required:

1. Allocate service department costs to consuming departments by the step-down method. Then compute predetermined overhead rates in the operating departments using machine-hours as the allocation base in Machining and direct labor-hours as the allocation base in Assembly.

2. Repeat (1) above, this time using the direct method. Again compute predetermined overhead rates in Machining and Assembly.

3. Assume that the company doesnt bother with allocating service department costs but simply computes a single plantwide overhead rate that divides the total overhead costs (both service department and operating department costs) by the total direct labor-hours. Compute the plantwide overhead rate.

4. Suppose a job requires machine and labor time as follows:

	Machine- Hours		Direct Labor-Hours
Machining Department	210		33
Assembly Department	13		80
Total hours	223		113

Using the overhead rates computed in (1), (2), and (3) above, compute the amount of overhead cost that would be assigned to the job if the overhead rates were developed using the step-down method, the direct method, and the plantwide method.