Gonzalez Company has two service departments, Maintenance and Human Resources. Gonzalez Company also has two production departments, Mixing and Finishing

Maintenance costs are allocated based on square footage while Human Resources costs are allocated based on number of employees. The following information has been gathered for the current year:

Human
Maintenance Resources Mixing Finishing
Direct costs $126,000 $84,000 $105,000 $175,000
Square footage 800 400 1,600 1,200
Number of employees 8 12 24 32

Assume the step-down method is used to allocate service department costs, and the Maintenance Department is allocated first. The amount of cost allocated from the Maintenance Department to the Finishing Department would be ________.
A) $31,500
B) $42,750
C) $47,250
D) $57,000

C