Tuscaloosa National Bank has two service departments, the Human Resources (HR) Department and the Computing Department. The bank has two other departments that directly service customers, the Deposit Department and the Loan Department. The usage of the two service departments output for the year is as follows:

User of Service	Provider of Service
	HR	Computing
HR	0	15%
Computing	20%	0
Deposit	50%	45%
Loan	30%	40%

The budgeted costs in the two service departments for the year are as follows:

HR	$ 165,000
Computing	231,200

1. Use the direct method to allocate the budgeted costs of the HR and Computing departments to the Deposit and Loan departments.

Note: Do not round intermediate calculations.

Provider of Service	Deposit	Loan
HR
Computing
Total

2. Use the step-down method to allocate the budgeted costs of the HR and Computing departments to the Deposit and Loan departments. Tuscaloosa National Bank allocates the costs of the HR Department first.

\begin{tabular}{|l|l|l} \hline \multicolumn{1}{c|}{ Costs } & Deposit & Loan \\ \hline Allocation of HR Department costs & & \\ \hline Allocation of Computing Department costs & & \\ \hline Total costs allocated to each department & & \\ \hline \end{tabular}