Refer to Exercises El9-23 and El9-24. Suppose Southerns direct labor rate was $340 per hour. The Halbert engagement used the following resources last month:
Allocation Base Halbert
Direct labor hours .... 190
Pages ........ 340
Applications used ... 82
1. Compute the cost assigned to the Halbert engagement, using the ABC system.
2. Compute the operating income or loss from the Halbert engagement, using the ABC system.