The accountant for Sam Inc. is preparing the budgets for operating department support service costs. Maintenance costs are allocated based on square feet, and cafeteria costs are allocated based on number of employees. The following data have been collected:

Support Departments Operating Departments

Maintenance Cafeteria Cutting Packaging

Direct costs $$50,000$ $$45,000$ $$275,000$ $$300,000$

Number of employees $1510150250$

Square feet $1,5002,0003,5004,000$

If the direct method is used, the total cost $($including allocations$)$ for the packaging department will be

$$26,667$

$$355,250$

$$54,792$

$$354,792$ I need help with explanation. Thanks!