Warren Ltd. has two production departments, Building A and Building B, and two service departments, Maintenance and Cafeteria. Direct costs for each department and the proportion of service costs used by the various departments for the month of June follow:

		Proportion of	Services Used	By
Department	Direct Costs	Maintenance	Cafeteria	Building A	Building B
Building A	495,000
Building B	322,000
Maintenance	200,000	-	0.2	0.5	0.3
Cafeteria	160,000	0.8	-	0.1	0.1

Required:

Use the step method to allocate the service costs, using the following:

(a) The order of allocation starts with Maintenance

From	Maintenance	Cafeteria	Building A	Building B
Service department costs
Maintenance
Cafeteria
Total Costs

(b) The allocations are made in the reverse order (starting with Cafeteria)

From	Cafeteria	Maintenance	Building A	Building B
Service department costs
Maintenance
Cafeteria
Total Costs