Refer to the data given in the preceding exercise.

Required: 

Use the step-down method to allocate Bay State Community College's service department costs to the Liberal Arts and Sciences departments.

Data From Preceding Exercise:-

Bay State Community College enrolls students in two departments, Liberal Arts and Sciences. The college also has two service departments, the Library and the Computing Services Department. The usage of these two service departments' output for the year is as follows:

The budgeted costs in the two service departments for the year are as follows:

Provider of Service Computing Services User of Service Library Library...... 20% Computing Services.. Liberal Arts... 60% 30% Sciences.. 40% 50%