Final answer:
In response to the step down method allocation question, the exact amount allocated to Department B from the maintenance department cannot be determined without additional information on the costs allocation criteria. However, Department A, with the highest interdepartmental service usage, would be allocated maintenance costs first, followed by Department B.
Step-by-step explanation:
If we are using the step down method to allocate maintenance department costs, we will allocate costs based on the percentage of maintenance hours used by Department B in relation to the total maintenance hours used by all departments. First, we need to determine the department with the highest percentage of interdepartmental support service, which will be allocated costs first.
The total budgeted maintenance hours are 880 (Personnel) + 1230 (A) + 650 (B) = 2760 hours. The maintenance department costs to be allocated are $310,000. The percentage of maintenance hours for Department B is 650/2760 = 23.55%. However, since we are applying the step down method, we would start by allocating costs to the department with the highest percentage of interdepartmental service usage, which appears to be Department A (1230/2760 = 44.57%) if we assume the Personnel Department is another service department and not a production department.
Because the question does not specify how the remaining departments (Personnel and A) share the maintenance costs or the sequence after the first allocation, we can't provide a precise number for the costs allocated to Department B without more information. However, following the step down method, we can say that Department A would first receive maintenance cost allocation, and Department B's allocation would be determined after considering the maintenance hours used and any additional criteria provided for the step down process.