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Cake Products, Inc is divided into five departments, mixing, blending,finishing, factory office, and building maintenance. the first three departments are engaged in production work. factory office and building maintenance are service departments. during the month of June, the following factory overhead was incurred for the various departments: mixing $21,000 factory office 9,000 blending 18,000 building maintenace 6,400 finishing 25,000 the bases for distributing service department expenses to the other departments follow: Building maintenance-on the basis of floor space occupied by the other departments as follows: mixing, 10,000 sq. ft. blending 4,500 sq. ft. finishing 10,500 sq. ft and factory office 7,000 sq. ft. Factory office- on the basis of number of employees as follows: mixing, 30, blending, 20, finishing, 50 prepare schedules showing the distribution of the service departments' expenses for the following: direct distribution method sequential distribution method in the order of other departments served.
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