Cornerstone Exercise 4.7 Simplifying the ABC System: TDABC Golding Bank provided the following data about its resources and activities for its checking account process: Activity Driver Resources Activities Supervision $70,000 Processing accounts Time per Unit 0.20 hr. No. of accounts Phone and supplies 90,000 Issuing statements 0.10 hr. No. of statements Salaries 275,000 Processing transactions 0.05 hr. No. of transactions Computer 25,000 Answering customer inquiries 0.15 hr. No. of inquiries Total $460,000 Total check processing 25,000 hours (practical capacity) Required: 1. Calculate the capacity cost rate for checking account process. 2. Calculate the activity rates for the four activities. If the total number of statements issued was 20,000, calculate the cost of the issuing statements activity.