toxes matin jeet sat eaenses k Paid nclecced WOODBRIDGE TESTING CEN' 6) Chancellor Company is divided into four departments. Departments A and B are service departments and Departments 1 and 2 are operating (production) departments. The services of the two service departments are used by the other departments as follows: Dept. A Dept. 1 Dept. B Dept. 2 Services of Department A Department B.. Direct costs incurred by each department $50,000 60% 45% $60,000 $70,000 40% 55% $80,000 Allocate the service department costs to the operating departments: (15 points) em Allocation of Expenses to Departments Department A Department B Department 1 Department 2 Total direct Department expenses.. Service department expenses Department A. Department B.. Total. $50,000 $60,000 $ 80,000 $70,000 (50,000) (60,000)