Product and Department Budgets

Using Activity$-$Based Approach

The following data are from the general records of the Loading Department of Bowman Freight Company for November.

$-$ Cleaning incoming trucks, $20$ minutes.

$-$ Obtaining and reviewing shipping documents for loading truck and instructing loaders, $30$ minutes.

$-$ Loading truck, $1$ hour and $30$ minutes.

$-$ Cleaning shipping dock and storage area after each loading, $10$ minutes.

$-$ Employees perform both cleaning and loading tasks and are currently averaging $\backslash$$$14$ per hour in wages and benefits. department. Her current salary is $\backslash (\backslash$$ $5,000\backslash )$ per month.

$-$ Other overhead of the department amounts to $\backslash$$$10,000$ per month, $20$ percent for cleaning and $80$ percent for loading. places.$)$