Blondell Legal Services, LLC, uses the step-down method to allocate service department costs to operating departments. The firm has two service departments, Personnel and Information Technology (IT), and two operating departments, Family Law and Corporate Law. Data concerning those departments follow: Service DepartmentOperating Department PersonnelITFamily LawCorporate LawDepartmental costs$85,284$29,703$883,360$189,010Employees 11 25 121 163PCs 12 26 112 137 Personnel costs are allocated first on the basis of employees and IT costs are allocated second on the basis of PCs. In the first step of the allocation, the amount of Personnel Department cost allocated to the Family Law Department is closest to:
A. $32,248
B. $36,336
C. $33,396
D. $70,252
Answer: C
Business
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