University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing).
Management has decided to allocate maintenance costs on the basis of machine-hours in each department and personnel costs on the basis of labor-hours worked by the
employees in each.

The following data appear in the company records for the current period:

	Maintenance			Personnel			Printing			Developing
Machine-hours		”			1,000			1,000			3,000
Labor-hours		500			”			500			2,000
Department direct costs	$	15,000		$	36,000		$	45,000		$	30,000

Required:

(a)

Allocate the service department costs using the step method, starting with the Maintenance Department. (Do not round intermediate calculations. Leave no cells blank – be certain to enter “0” wherever required. Amounts to be deducted should be indicated with a minus sign. Omit the “$” sign in your response.)