write:•The first support department’s costs are allocated to all operating andsupport departments that use its services. •Each subsequent support department’s costs are allocated

2eSlide # 16Q4:The Step-Down Method of AllocatingSupport Department Costs•The step-down methodallocates some (but not all) support department costs to other support departments.•Allocation order must be determined.•The first support department’s costs are allocated to all operating andsupport departments that use its services.•Each subsequent support department’s costs are allocated to all operating and support departments that use its services
exceptany support department whose costs were already allocated.

 

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