How much of the IT costs are allocated to Painting

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Design Co. has two operating departments (Painting and Decorating) and two support departments (HR and IT). Using number of employees to allocate HR and IT tickets to allocate IT, use the direct method to allocate support department costs to operating departments.

Question 1: How much of the IT costs of $260,000 are allocated to Painting?

                       HR                 IT                Painting                     Decorating

Budget           125,000         260,000         450,000                   550,000

Employees            X                100               50                          200

IT Tickets            40                X                  200                       200

Reference no: EM132516467

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