Cope, Inc. has the following costs and usage data for its support departments: Percent of Support Services Provided to
Direct Support Departments Operating Departments
Costs A B C 1 2
Services Provided By:
A $50,000 ---- 20% 10% 40% 30%
B 60,000 20% ---- 20% 20% 40%
C 30,000 10% 10% ---- 50% 30%
If the step-down method is used, the total cost of support department C will be:
A)$30,000
B)$37,750
C)$42,000
D)$49,750

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The Answer of Cope, Inc. has the following costs and usage data for its support departments: Percent of Support Services Provided to
Direct Support Departments Operating Departments
Costs A B C 1 2
Services Provided By:
A $50,000 ---- 20% 10% 40% 30%
B 60,000 20% ---- 20% 20% 40%
C 30,000 10% 10% ---- 50% 30%
If the step-down method is used, the total cost of support department C will be:
A)$30,000
B)$37,750
C)$42,000
D)$49,750

Cope, Inc Has the Following Costs and Usage Data for Its