Answer the following questions using the information below: Goldfarb's Book and Music Store has two service departments, Warehouse and Data Center. Warehouse Department costs of $350,000 are allocated on the basis of budgeted warehouse- hours. Data Center Department costs of $150,000 are allocated based on the number of puter log-on hours. The costs of operating departments Music and Books are $250,000 and $300,000, respectively. Data on on hours are as follows: com budgeted warehouse-hours and number of computer log- Production Support Departments Warehouse Data CenterMuscBooks nts Department Department udgeted costs udgeted warehouse- urs umber of computer $350,000 $150,000 $125,000 $150,000 NA 500 1,000 1,500 200 800 1,000 NA ours oy using the step-down method, What amount of Data Center Department cost will be allocated to the Warchouse Department if the service department with the highest percentage of interdepartmental support service is allocated first? (Round up) A) $50,000 B) $150,000 C) $15,000 D) S0 Answer Explanation 7) Using the step-down method, what amount of Warehouse Department cost will be allocated to Department Music if the service department with the highest percentage of interdepartmental support service is allocated first? (Round up) A) $233,333 B) S116,667 C) $243,333 D) $121,667 Answer: 8) Using the step-down method, what amount of Data Center Department cost will be allocated to Department Music if the service department with the highest percentage of interdepartmental support service is allocated first? (Round up) A) $1 17,342 B) $66,667 C) $92,592 D) $83,333