Danville Manufacturing
the Danville Manufacturing Company Has Two Service Departments

Danville Manufacturing
The Danville Manufacturing Company has two service departments and two producing departments. The following data are available for 2006.
$$\begin{array} { l c c c c } & \begin{array} { c } \text { Service } \\\text { Dept. 1 }\end{array} & \begin{array} { c } \text { Service } \\\text { Dept. 2 }\end{array} & \begin{array} { c } \text { Producing } \\\text { 1 }\end{array} & \begin{array} { c } \text { Producing } \\\mathbf { 2 }\end{array} \\\hline \text { Department Costs } & \$ 12000 & \$ 8000 & \$ 60000 & \$ 70000 \\\text { Number of Transactions } & 6000 & 4000 & 6000 & 14000 \\\text { Square Feet Occupied } & 2000 & 1000 & 4000 & 6000\end{array}$$
-Assuming that Danville Manufacturing Company allocates service department 1 costs first,the amount of service department 2 costs allocated to producing 1 under the step-down method would be:

A) $3200
B) $4000
C) $3000
D) $2400