Question: Direct method Andreka Inc. uses the direct method to allocate support department costs to production departments ( fabricating and finishing ) . Information for June

Direct method
Andreka Inc. uses the direct method to allocate support department costs to production departments (fabricating and finishing). Information for June follows.
Human ResourcesAdministrationService department costs$882,000 $630,000 Services provided to other departmentsHuman resources10%Administration20%Fabricating35%50%Finishing45%40%
a. What amounts of human resources and administration costs should be assigned to Fabricating for June? $Answer 1
b. What amounts of human resources and administration costs should be assigned to Finishing for June? $Answer 2

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