Refer to the data given in the preceding problem. When Jacksonville Instrument Company established its service departments,

Question:

Refer to the data given in the preceding problem. When Jacksonville Instrument Company established its service departments, the following long-run needs were anticipated.


Refer to the data given in the preceding problem. When


Required:
Use the dual approach in conjunction with each of the following methods to allocate Jacksonville Instrument Company’s service department costs:
(1) Direct method,
(2) Step-downmethod.

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