The Xtra Store has a Human Resources Department and a Janitorial Department that provide service to three sales departments. The Human Resources Department cost is allocated on the basis of employees, and the Janitorial Department cost is allocated on the basis of space. The following information is available: Human ResourcesJanitorialSales #1Sales #2Sales #3Budgeted cost$45,000 $30,000 Space in Square Feet 4,000 1,000 20,000 30,000 50,000 Number of employees 5 10 15 45 30 Using the step-down method and assuming the Human Resources Department is allocated first, the amount of Janitorial cost allocated to Sales Department no. 2 is:
A. $9,857.
B. $10,247.
C. $8,571.
D. $10,350.
E. $9,000.
Answer: D
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