(There are other examples of this but they divide it between Variable Cost and Fixed Cost and mine doesn't have that, also can you show steps on how to do this and not just the answers please? Thanks!!)

PROBLEM 4B-5 Step-Down Method Woodbury Hospital has three service departments and three operating departments. Estimated cost and operating data for all departments in the hospital for the forthcoming quarter are presented in the table below: Service Departments Operating Departments Housekeeping Services $87,000 Total cost Meals served Square feet of space Files processed Food Admin. Services Services Laboratory $301,060 $249,020 $405,900 800 2,000 13,000 6,500 10,000 14,000 Radiology $520,500 1,000 7,500 7,000 General Hospital $475,800 68,000 108,000 25,000 Total $2,039,280 71,800 150,000 46,000 5,000 The costs of the service departments are allocated by the step-down method using the allocation bases and in the order shown in the following table: Service Department Housekeeping Services Food Services Administrative Services Allocation Bases Square feet of space Meals served Files processed All billing in the hospital is done through Laboratory, Radiology, or General Hospital. The hospital's administrator wants the costs of the three service departments allocated to these three billing centers. Required: Using the step-down method, prepare the cost allocation desired by the hospital administrator. Include under each billing center the direct costs of the center, as well as the costs allocated from the service departments