Silver Law Firm provides litigation and mediation services. The company reports the following overhead cost data for
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Silver Law Firm provides litigation and mediation services. The company reports the following overhead cost data for the year. It worked on 70 litigation cases and 80 mediation cases during this period.
Activity usage for each service follows.
Required
1. Compute an activity rate for each activity using activity-based costing.
2. Compute overhead cost per unit (case) for both litigation and mediation using activity-based costing.
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