Exerclse $9-45($Algo$)$ Actlvity$-$Based versus Traditional Costing$-$Ethical Issues $($LO $9-3,4,5)$

Cathedral City Services $($CCS$)$ is a not$-$for$-$profit organization offering two services in a mid$-$sized city. The services are "Elder Meals" and "Jobs$4$U$."$ Elder Meals is a meals$-$on$-$wheels type program that delivers meals on a scheduled basis to seniors who are housebound. Jobs $4$ U is a jobs$-$training program focused on youth or adults who are looking to change careers. Participants in the program are sponsored by a local government agency, a charitable organization, or a local business. CCS charges a $$280$ fee per hour for each senvice$.$ The revenues and costs for the year are shown in the following income statement:

The following data have been collected concerning activities at CCS:

$\backslash$table$[[,,$Activity Level$],[$General office costs,Cost Driver,Elder Meals,Jobs$4$U$],[$Travel and transportation,$124,76],[,$Number of visits,$582,88],[-$quipment lease and maintenance,Computer hours,$228,932]]$

Requlred:

o$.$ Complete the income statement using activity$-$based costing and CCS$\text{'}$s three cost drivers.

b$.$ Recompute the income statement using direct labor$-$hours as the only allocation base $(400$ hours for Elder Meals; $1\mathrm{.}000$ hours for Jobs$4$U$).$

Answer is not complete.

Complete this question by entering your answers in the tabs below.

Required $A$

Required B

Complete the income statement using activity$-$based costing and CCS$\text{'}$s three cost drivers.

Note: Do not round intermediate calculations.

$\backslash$table$[[$Account$,$Elder Meals,Jobs$4$U$,$Total$],[$Revenue$,$$$,112,000,$s$,280,000,$s$,392,000],[$Expenses:$,,,,,,],[$General office costs,,$124,,76,,70,000],[$Travel$,,582,,88x,,53,600],[$Equipment lease,,$228,,932*,,29,000],[$Operating profit,,,,,$$,239,400]]$