The service company. Excellent Maids, cleans hotel rooms at resorts on Hilton Head Island. Excellent has identified three activities involved in cleaning. Information on those activities for the month of May follow:

Cost Pools	Cost Drivers	Estimated Overhead Cost	Expected Use of Cost Drivers
Cleaning bed linens	Number of beds	$72,000	48,000 beds
Cleaning bathrooms	Number of bathrooms	64,000	32,000 bathrooms
Other cleaning	Number of hotel rooms and public spaces	45,000	18,000 spaces

At the Calypso Resort, the company cleaned 900 rooms during March, 1,200 public spaces, changed 1,600 beds, and cleaned 900 bath rooms. Using ABC, how much overhead is applied to each hotel room cleaned?

Answer rating: 100% (QA)

To calculate the overhead cost applied to each hotel room cleaned using ActivityBased Costing ABC we ... View the full answer