The direct method is used by Marrero Publishing, Inc., to allocate service department costs to operating departments. The company has two service departments, Information Technology and Personnel, and two operating departments, Prepress and Printing. Service Department Operating Department Information TechnologyPersonnel PrepressPrintingDepartmental costs$27,412$27,008 $376,940$530,110Computer workstations2819 5138Employees2714 9830 Information Technology Department costs are allocated on the basis of computer workstations and Personnel Department costs are allocated on the basis of employees. The total Prepress Department cost after service department allocations is closest to:
A. $413,326
B. $410,563
C. $402,881
D. $406,961
Answer: A
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