Q2:Using step down method with general costs allocated first, what is the cost of the finishing department after allocation of all service department cost.Q3using reciprocal method, what amount of facilities cost will be allocated to the assembly department?

ishing are the operating departments, and General and Facilities Facilities General Assembly Finishing Total Department costs (E) 1,500,000 1,200,000 4,000,000 3,000,000 9,700,000 Square meters 500 1,000 2,000 3,000 6,500 Employees 10 20 30 60 120 So the Facilities department has costs of E 1,500,000, uses 500 square meters, and has 10 employees. Facilities costs are allocated using square meters as an allocation basis, a costs are allocated using the number of employees as an allocation basis. Required: Using the direct method, what amount of General department costs will be allocated to the Finishing department (rounded at E 1,000)