The company allocates service department costs by the step-down method in the following order: Administration (number of employees), Janitorial (space occupied), and Maintenance (hours of press time)....


The company allocates service department costs by the step-down method in the following order: Administration (number of employees), Janitorial (space occupied), and Maintenance (hours of press time). Required: Using the step-down method, allocate the service department costs to the operating departments. a. How much cost will be allocated from Janitorial to Maintenance? b. How much is the total Binding Department cost after the allocations of service department costs? c. How much is the total Printing Department cost after the allocations of service department costs? departments follow: rony $494,500 $1,211,700 210 Service Departme Administration Janitorial Maintenance ity $225,000 $120,750 $55,200 $316,250 60 35 140 315 15,000 10,000 20,000 40,000 760 185,000 100,000 60,000 90,000 38,000 Costs Number of employees Square feet of space occupied Hours of press time artment costs by the step-down method in The Pearson's Publishing Company has three service departments and two operating departments. Selected data from a recent period on the five departments follow:

May 26, 2022
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