Direct Method Eilers Company has two producing departments and two support departments. The following budgeted data pertain to these four departments: Direct overhead Square footage Number of receiving orders Direct labor hours Support Departments Producing Departments General Factory Receiving Assembly Finishing $460,000 $190,000 $42,000 $76,000 2,200 4,400 4,400 300 1,850 1,200 28,000 40,000 The company has decided to simplify its method of allocating support service costs by switching to the direct method. Required: 1. Allocate the costs of the support departments to the producing departments using the direct method. Round allocation ratios to four significant digits. Round allocated costs to the nearest dollar. Use the rounded values for subsequent calculations. Allocation ratios: Square footage Number of receiving orders Allocations: General Factory Receiving Direct costs Total Assembly Finishing Assembly Finishing 2. Using direct labor hours, compute departmental overhead rates. (Round to the nearest cent.) Assembly Finishing Overhead Rate per direct labor hour per direct labor hour