Tri-City College is organized into three instruction centers and two service centers. The instruction centers are arts and sciences, education, and business administration. The service centers are buildings and grounds and central administration. The president wants to know the cost per student in each of the three instruction centers. As a part of the task, you have been asked to assist with the reassignment of overhead costs from the service centers to the instruction centers. The following data represent estimates for the current school year:

Required:
a. Reassign the overhead costs from the service centers to the instruction centers, beginning with buildings and grounds. Allocate buildings and grounds by percentage of space occupied and central administration by number of employees. (Round results to the nearest whole dollar.)
b. Calculate the overhead cost for each instruction center on a number-of-students basis. (Round results to the nearest cent.)

Business Buildings Central Total Sciences Education tration Grounds tration Overhead costs (000) $10,500 $3,150 $2,625 $2,100 $1,575 $1,050 15 Arts and Adminis and Adminis- Percent of space occupied Number of employees 20 72 Number of students 10,000 6,000 2,500 1,500 100 400 30 80 25 48 10 120 80