The Sendai Co., Ltd., of Japan has budgeted costs in its various departments as follows for the coming year: Factory Administration Custodial Services Personnel Maintenance Machining-overhead Assembly-overhead Total cost $1,029,860 185,588 36,088 132,034 621, 026 467,284 $2,471,880 The company allocates service department costs to other departments in the order listed below. Department Factory Administration Custodial Services Personnel Maintenance Machining Assembly Square Total Feet of Direct Number of Labor- Space Labor- Machine- Employees Hours Occupied Hours Hours 11,100 11 15,500 10,500 13,800 5,000 46,800 19,800 80,000 90,000 82,000 143,400 108 240,000 30,000 240,000 95,600 290 396,100 166,400 322,000 239,000 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 doesn't 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 225 Direct Labor- Hours Machining Department Assembly Department Total hours 16 241 116 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. Required 1 Required 2 Required 3 Required 4 Allocate service department costs to consuming departments by the step-down method. Then compute predetermined overhead departments using machine-hours as the allocation base in Machining and direct labor-hours as the allocation base in Assembly. allocations from a department as negative and allocations to a department as positive. The line should add across to zero. Do no calculations. Round "Predetermined overhead rates" to 2 decimal places and other final answers to the nearest whole dollar amo Machining Assembly Factory Administration | $ 1,029,860 Custodial Personnel Services $ 185,588 $ 36,088 Maintenance Maintenance S 132,034 (1,029,860) 208,000 140,400 624,000 46,800 Departmental costs before allocation Allocations: Factory administration Custodial services Personnel Maintenance Total costs after allocation Predetermined overhead rate 0 $ 185,588 $ 36,088 $ 132,034 S $ 348,400 3.08 $ $ 670,800 3.11 Required 1 Required 2 Required 3 Required 4 Repeat requirement 1 above, this time using the direct method. Again compute predetermined overhead rates in Machining and allocations from a department as negative and allocations to a department as positive. The line should add across to zero. Do not calculations. Round "Predetermined overhead rates" to 2 decimal places and other final answers to the nearest whole dollar amou Machining Assembly Factory Administration $ 1,029,860 Custodial Services $ 185,588 Personnel D $ 36,088 Maintenance $ 132,034 Departmental costs before allocation Allocations: Factory administration Custodial services Personnel Maintenance Total costs after allocation Predetermined overhead rate $ 1,029,860 S 185,588 S 36,088 $ 132,034 Required 1 Required 2 Required 3 Required 4 Assume that the company doesn't 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. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Plantwide overhead rate per DLH Required 1 Required 2 Required 3 Required 4 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. (Do not round intermediate calculations. Round "Predetermined overhead rates" to 2 decimal places and other final answers to the nearest whole dollar amount.) Show less Overhead Cost Step-down method Direct method Plantwide method