Jackman Industries has two service departments, maintenance and power, and two operating departments, production and assembly. Management has decided to allocate maintenance costs on the basis of direct-labor hours in each department and power costs on the basis of machine hours. The following data were experienced by the company in the current period:MaintenancePowerProductionAssemblyDirect labor hours04004,0002,000Machine hours2,00008,4001,600Department direct costs$9,000$20,000$70,000$50,000What is the total service cost allocated to the production department during the period if the direct method of cost allocation is used?$ 9,200$22,800$19,625None of these.$ 6,200
