Alpha Company has two service departments (Cafeteria Services & Maintenance Services). Alpha has two production departments – Online Homework Help

BUY Answers: Alpha Company has two service departments (Cafeteria Services & Maintenance Services). Alpha has two production departments – Online Homework Help

Alpha Company has two service departments (Cafeteria Services & Maintenance Services). Alpha has two production departments (Printing Department & Binding Department.) Cafeteria Services has costs of $140,000 and are allocated to production departments based on their number of employees. Employees are:

            Cafeteria Services                2

            Maintenance Services           2

            Printing Department             4

            Binding Department             8

Alpha uses the step method for service cost allocation. Use this information to determine for Alpha Company the  dollar amount of its Cafeteria costs that are to be absorbed by: (Round & enter final answers to: the nearest whole dollar for total dollar answers, nearest penny for unit costs or nearest whole number for units)

            1. the Printing Department

            2. the Binding Department