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Vicknair Clinic has 2 service departments, A and B, and two revenue departments Y and Z. The clinic uses the step-down method of allocating service
Vicknair Clinic has 2 service departments, A and B, and two revenue departments Y and Z. The clinic uses the step-down method of allocating service departments costs and begins with department A. The following information is given: Direct cost pool: Department A $100,000 Department B 150,000 Department Y 750,000 Department z 500,000 Total $1,500,000 Department A services provided to: Department A 5% Department B 10% Department y 65% Department z 20% Total 100% Department B services provided to: Department A 10% Department B -0-% Department y 60% Department z 30% Total 100% After all allocation steps have been completed, the total (direct and allocated) cost of Department Y and Department Z to the nearest whole cent is $___
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