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Williams manufactures a variety of iron products, made to customer specifications, in small batches. Willie Williams, owner, is concerned that he does not have an

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Williams manufactures a variety of iron products, made to customer specifications, in small batches. Willie Williams, owner, is concerned that he does not have an accurate understanding of the costs of production. You, a newly-minted MBA, have researched his business and identified various costs and cost drivers. Assembl Total Janitorial Welding HR Data Sves y Own costs Square feet # employees # transactions (thou) Power usage S 10,000 S 82,000 $41,200 S 36,400 S 58,000 $ 227,600 400 2,000 500 2,500 3,500 8,900 130 1,070 216 1,010 26 105 735 182 16 76 142 603 38 21 al, HR, and Data Services) are allocated to the two production departments The service departments (Canitori (Welding and Assembly). Janitorial costs are allocated using # of employees HR using # of transactions, and Data Services using square feet. You recall department costs, direct, step-down and reciprocal methods. that there are several approaches to the allocation of service a. b. c. If the direct method is used, how much of the Data Svcs is allocated to Welding and Assembly? If the direct method is used, how much of the Janitorial is allocated to Welding and Assembly? If the direct method is used, how much of the HR is allocated to Welding and Assembly

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