69 Wages and salaries Depreciation Supplies Other overhead Total overhead costs 500,000 56,000 100,000 119,000 69...

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69 Wages and salaries Depreciation Supplies Other overhead Total overhead costs 500,000 56,000 100,000 119,000 69 $ 775,000 John Foster, controller of Greener Lawn USA, has established four activity cost pools and the following budgeted activity for each cost pool: Activity Cost Pool Activity Measure Total Activity for the Year 225 estimates Estimating jobs Number of job estimates Lawn care Number of direct labor-hours 10,000 direct labor-hours Landscape design Number of design hours 325 design hours Other Foster estimates that Greener Lawn USA's costs are distributed to the activity-cost pools as follows: Facility-sustaining costs that are not allocated to jobs Not applicable Wages and salaries Depreciation Estimating Jobs Supplies Other overhead Landscape Lawn Care Design Other Total 5% 60% 15% 20% 100% 10% 55% 20% 15% 100% 0% 100% 0% 0% 100% 15% 45% 25% 15% 100% Yancy Office Park, a new development in a nearby community, has contacted Greener Lawn USA to provide an estimate on landscape design and annual lawn maintenance. The job is estimated to require a single landscape design requiring 40 design hours in total and 225 direct labor-hours annually. Greener Lawn USA has a policy of pricing estimates at 150% of cost. Estimating Lawn Landscape Wages and salaries jobs care design Other Total 25,000 $ 300,000 $ 75,000 $ 100,000 $ 500,000 Depreciation 5,600 30,800 11,200 8,400 56,000 Supplies 0 100,000 0 0 100,000 Other overhead 17,850 53,550 29,750 17,850 119,000 48,450 $ 484,350 $ 115,950 $ Total 126,250 $ 775,000 Estimating jobs Lawn care Landscape design GA SA FA Cost 48,450 484,350 115,950 Total quantity of cost driver 225 = = Cost driver rate 215.33 per estimate 10,000 = $ 48.44 per DLH + 325 356.77 per design hour Estimating jobs Lawn care Landscape design Total costs Markup multiplier Bid estimate % 69 Wages and salaries Depreciation Supplies Other overhead Total overhead costs 500,000 56,000 100,000 119,000 69 $ 775,000 John Foster, controller of Greener Lawn USA, has established four activity cost pools and the following budgeted activity for each cost pool: Activity Cost Pool Activity Measure Total Activity for the Year 225 estimates Estimating jobs Number of job estimates Lawn care Number of direct labor-hours 10,000 direct labor-hours Landscape design Number of design hours 325 design hours Other Foster estimates that Greener Lawn USA's costs are distributed to the activity-cost pools as follows: Facility-sustaining costs that are not allocated to jobs Not applicable Wages and salaries Depreciation Estimating Jobs Supplies Other overhead Landscape Lawn Care Design Other Total 5% 60% 15% 20% 100% 10% 55% 20% 15% 100% 0% 100% 0% 0% 100% 15% 45% 25% 15% 100% Yancy Office Park, a new development in a nearby community, has contacted Greener Lawn USA to provide an estimate on landscape design and annual lawn maintenance. The job is estimated to require a single landscape design requiring 40 design hours in total and 225 direct labor-hours annually. Greener Lawn USA has a policy of pricing estimates at 150% of cost. Estimating Lawn Landscape Wages and salaries jobs care design Other Total 25,000 $ 300,000 $ 75,000 $ 100,000 $ 500,000 Depreciation 5,600 30,800 11,200 8,400 56,000 Supplies 0 100,000 0 0 100,000 Other overhead 17,850 53,550 29,750 17,850 119,000 48,450 $ 484,350 $ 115,950 $ Total 126,250 $ 775,000 Estimating jobs Lawn care Landscape design GA SA FA Cost 48,450 484,350 115,950 Total quantity of cost driver 225 = = Cost driver rate 215.33 per estimate 10,000 = $ 48.44 per DLH + 325 356.77 per design hour Estimating jobs Lawn care Landscape design Total costs Markup multiplier Bid estimate %