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Question 45

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Brandeis Corporation has two production Departments: P1 and P2 and two service departments: S1 and S2. Direct costs for each department and the proportion of service costs used by the various departments for the month of July are as follows:
Use the following to answer questions: Brandeis Corporation has two production Departments: P1 and P2 and two service departments: S1 and S2. Direct costs for each department and the proportion of service costs used by the various departments for the month of July are as follows:    -Under the step-method of allocation, the total amount of service costs allocated to producing departments would be: A)  $118,000 B)  $160,000 C)  $140,000 D)  $40,000
-Under the step-method of allocation, the total amount of service costs allocated to producing departments would be:


A) $118,000
B) $160,000
C) $140,000
D) $40,000

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