The Westfield branch of Security Home Bank has submitted the following cost data for last year: Teller
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The Westfield branch of Security Home Bank has submitted the following cost data for last year:
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Teller wages Assistant branch manager salary Branch manager salary. Total Virtually all other costs of the branch-rent, depreciation, utilities, and so on-are organization-sustaining costs that cannot be meaningfully assigned to individual customer transactions such as depositing checks. In addition to the cost data above, the employees of the Westfield branch have been interviewed concerning how their time was distributed last year across the activities included in the activity-based costing study. The results of those interviews appear below: Distribution of Resource Consumption Across Activities Teller wages Assistant branch manager salary Branch manager salary Activity Opening accounts $ 150,000 63,000 86,000 $ 299,000 Processing deposits and withdrawals Processing other customer transactions Activity Cost Pool Opening accounts Processing Opening Deposits and Accounts wWithdrawals 67% 4% 11% 8% Processing deposits and withdrawals Processing other customer transactions 15% 4% The manager of the Westfield branch of Security Home Bank has provided the following data concerning the transactions of the branch during the past year: Processing Other Customer Transactions 17% 26% 23% Activity Rate Other Activities 12% 48% 73% Required: 1. Compute the activity rates for the activity-based costing system. (Round your answers to 2 decimal places.) Total Activity at the Westfield Branch 210 new accounts opened 50,500 deposits and withdrawals processed 950 other customer transactions processed Totals 100% 100% 100% per account opened per deposit or withdrawal per other customer transaction Teller wages Assistant branch manager salary Branch manager salary. Total Virtually all other costs of the branch-rent, depreciation, utilities, and so on-are organization-sustaining costs that cannot be meaningfully assigned to individual customer transactions such as depositing checks. In addition to the cost data above, the employees of the Westfield branch have been interviewed concerning how their time was distributed last year across the activities included in the activity-based costing study. The results of those interviews appear below: Distribution of Resource Consumption Across Activities Teller wages Assistant branch manager salary Branch manager salary Activity Opening accounts $ 150,000 63,000 86,000 $ 299,000 Processing deposits and withdrawals Processing other customer transactions Activity Cost Pool Opening accounts Processing Opening Deposits and Accounts wWithdrawals 67% 4% 11% 8% Processing deposits and withdrawals Processing other customer transactions 15% 4% The manager of the Westfield branch of Security Home Bank has provided the following data concerning the transactions of the branch during the past year: Processing Other Customer Transactions 17% 26% 23% Activity Rate Other Activities 12% 48% 73% Required: 1. Compute the activity rates for the activity-based costing system. (Round your answers to 2 decimal places.) Total Activity at the Westfield Branch 210 new accounts opened 50,500 deposits and withdrawals processed 950 other customer transactions processed Totals 100% 100% 100% per account opened per deposit or withdrawal per other customer transaction
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Related Book For
Managerial Accounting
ISBN: 978-0697789938
13th Edition
Authors: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer
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