Part 9 Activity-Based Costing (E6-3 adapted) (25 points) AEBH Company operates a fleet of delivery cars. The company's Activity-Based Cost (ABC) system has three activity cost pools: (1) Travel; (2) Customer Service; and, (3) Other. The activity measures are: (1) miles driven; (2) number of customers; and (3) none, since it represents an Organization- Sustaining Activity. The following costs have been assigned to Cost Pools using the ABC system: Driver wages Vehicle operating expense Customer representation Administrative expenses $700,000 See below * $560,000 = $700,000 times 80% 300,000 200,000 400,000 Total $1,600,000 The above costs have been allocated to ABC cost pools based on the following percentages: Driver wages Vehicle operating expense Customer representation Administrative expenses Allocation Percentages Travel Customer Service 80% 10% 90% 10% 80% 10% 10% Other 10% 10% 10% 80% Incomplete Cost Pool Dollar Amounts Worksheet Travel Customer Service Other Driver wages (see above) $560,000* $ 70,000 $70,000 Vehicle operating expense 270,000 Customer representation 20,000 Administrative expenses 40,000 Total $890,000 Expected Activity Measures from the beginning of the period are: TRAVEL Expected miles driven 500,000 miles CUSTOMER SERVICE Expected number of customers 10,000 customers Required 1. Complete the "Incomplete Cost Pool Dollar Amounts" worksheet shown above. 2. Determine the activity rate for the Travel; and Customer Service pools. Activity rate for TRAVEL Activity rate for CUSTOMER SERVICE