Question: company is Implementing an ABC system that has four activity cost pools: Travel, Pickup and Delivery. Customer Service, and Other The activity measures are kilometres
company is Implementing an ABC system that has four activity cost pools: Travel, Pickup and Delivery. Customer Service, and Other The activity measures are kilometres for the Travel cost pool, number of pickups and deliveries for the Pickup and Delivery cost pool. and number of customers for the Customer Service cost pool. The Other cost pool has no activity measure. The following costs will be assigned using the ABC system: Driver and guard wages Vehicle operating expense Vehicle depreciation Customer representative salaries and expenses Orice expenses Administrative expenses Total cost $ 879.000 296.ece 163.000 193,000 46,500 366,000 $1,945,500 The distribution of resource consumption across the activity cost pools is as follows: Customer Service Driver and guard wages Vehicle operating expense Vehicle depreciation Customer representative salaries and expenses Office expen Administrative expenses Travel 35% 75% 70% ox 03 X Pickup and Delivery 40X 5% 10% 06 20% 10% ex ex 30% 35% Sex Other 10% 20x 20% 20% 45X 40% Totals 100% 100% 100 100% 180 100% Required Carry out the first stage allocations of costs to activity cost pools. (Do not leave any empty spaces: Input a 0 wherever it is required.) Travel Pickup and Delivery Customer Service Other Totals Driver and guard wages Vehicle operating expense Vehicle depreciation Customer representave salaries and expenses Office expenses Administrative expenses Total cost
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