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Simplifying the ABC System: TDABC Activity Driver No. of accounts No. of statements No. of transactions Golding Bank provided the following data about its resources and activities for its checking account process: Resources Activities Time per Unit Supervision $52,000 Processing accounts 0.20 hr. Phone and supplies 76,000 Issuing statements 0.10 hr. Salaries 316,000 Processing transactions 0.05 hr. Computer 24,000 Answering customer inquiries 0.15 hr. Total 468,000 Total check processing 26,000 hours (practical capacity) Required: No. of Inquiries 1. Calculate the capacity cost rate for the checking account process. Round your answer to the nearest cent. per hour 2. Calculate the activity rates for the four activities. Round your answers to the nearest cent. Processing accounts per account Issuing statements per statement per transaction Processing transactions Answering inquiries per inquiry If the total number of statements issued was 30,000, calculate the cost of the issuing statements activity. 1. Calculate the capacity cost rate for the checking account process. Round your answer to the nearest cent. per hour 2. Calculate the activity rates for the four activities. Round your answers to the nearest cent. Processing accounts per account Issuing statements per statement Processing transactions per transaction Answering inquiries per inquiry If the total number of statements issued was 30,000, calculate the cost of the issuing statements activity 3. What if process improvements decreased the number of customer inquiries, leading to a 10 percent reduction in check processing hours and a $9,360 reduction in total resource costs? Calculate the capacity cost rate for the checking account process. Round your answers to the nearest cent. per hour Update all the activity rates for these changes in operating conditions. Processing accounts per account Issuing statements per statement per transaction Processing transactions Answering inquiries per inquiry Previous Next > Email instructor Submit Test for Gradir