Reference no: EM13600422

Ignatius College has provided the following data to be used in its service department cost allocations:Departmental costs before allocations

*Service Dept

• Administration: $2,070,000
• Physical Plant Services: $720,000

*Operating Dept

• Undergrad programs: $23,650,000 Student Credit Hrs: 40,000
• Graduate programs:$2,980,000 Student Credit Hrs: 5,000
• Space Occupied in square feet

*Service Dept

• Administration: 30,000
• Physical Plan: 5,000

*Operating Dept

• Undergrad programs: 250,000
• Graduate programs: 50,000

Using the direct method allocate the costs of the service departments to the two operating departments.Allocate the costs of the Administration Dept on the basis of student credit-hours and the costs of the Physical Plant Service Dept on the basis of space occupied.