Activity Cost Driver 1. Order processing Number of orders 2. Line item ordering Number of line items 3. Store delivery Number of store deliveries 4. Cartons shipped to stores Number of cartons shipped to a store per delivery 5. Shelf stacking at customer store Number of hours of shelf stacking Each order consists of one or more line items. A line item represents a single product (such as Extra-Strength Tylenol Caplets). Each store delivery entails delivery of i or more cartons of products. Each product is delivered in one or more separate cartons. Ethical Drugs delivery staff stack cartons directly onto display shelves in a store. Currently there is no charge for this service and not all customers use Ethical Drugs for this activity. The April operating costs { other than COGS) of the $3.5M division total $351,080. The costs in each area and the number of units of cost drivers during April are: Total Costs Total Units of Cost Activity Area in April Driver in April 1. Order Processing $ 80,000 2,000 orders 2. Line item ordering 63,840 21,230 line items 3. Store deliveries 21,000 1,420 store deliveries 4. Carton deliveries 26,000 26,000 cartons 5. Shelf stacking 10,240 640 hours 6. Corporate SGA M unallocated M