Question: Help Save & Exit Submit Proctoring Enabled: MGMT8500 - Midterm Exam - Monday Saved 6 Kramer Office Supplies offers a number of different products to

Help Save & Exit Submit Proctoring Enabled:
Help Save & Exit Submit Proctoring Enabled: MGMT8500 - Midterm Exam - Monday Saved 6 Kramer Office Supplies offers a number of different products to its customers. It currently allocates its ordering and delivery costs to its. residential and business customer groups on the basis of order value, However, the company has recently decided to implement activity-based costing starting in 2022 to assign these costs to customers, Key data for 2021 are as follows, Activity Total Activity Volume Volume Activity Activity Cost Activity Base Residential Business Volume Salen fordor value) $ 3,060,090 $ 2, 900,080 1 6.560,090 Order processing 955,070 No, of orders 2,020 8,002 Generating sales 754609 No: of sales calls 5.909 Sales fallow-up 810,000 No. of follow-ups Processing change orders No. of change orders 210 180 1, 337,230 No. of deliveries 6,070 10,500 $ 3,911.728 Kramer has 1.960 residential customers and 490 business customers. 100% Required: 1. Compute the cost per customer for residential and business customers for 2021, using the current system of cost allocation. (Do not round intermediate calculations. Round "Cost per customer" to 2 decimal places and the rest to the nearest whole dollar amount:) Residential Business Ordering and theevery costs applied Number of customers E Costper putamet 2. Assume that the 2021 data will bold for 2022. Compute the cost per customer for residential and business customers for 2022 wong the proposed system of cost allocation in doing so, calculate the overhead allocation rate for each activity and use these rates to minion costs to the two customer groups. (Round your Intermediate calculations and finel answers to 2 decimal places.) Activity Cant Fool Activity Ante Prev 0 of 14

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