. Verizon LTE 6:40 PM C@ 15% O * X Click Here Click Here Problem 3 - Direct method - Service department costs - 6 total points ABCO Mortgage Company has the following two service and production departments related to its lending and servicing business: Service Departments Production Lending Departments HR Accounting Commercial Consumer Department cost $150,000 $200,000 $1,500,000 S900.000 Number of employees 3 Number of transactions IM00 700 2.100 1.900 HR costs are allocated on the basis of number of employees. Accounting cost are allocated based on the number of transactions Required: Using the Direct Method allocate the amounts of overhead from each service department to each production department