This not make sense I an m=not understanding the formula please simplify. Required information Skip to question [The following information applies to the questions displayed below.] The following information is departmental cost allocation with two service departments and two production departments. Percentage Service Provided to Department Cost S1 S2 P1 P2 Service 1 (S1) $ 31,000 0 % 20 % 40 % 40 % Service 2 (S2) 21,000 25 0 30 45 Production 1 (P1) 110,000 Production 2 (P2) 160,000