Question: this is only thing given Cancico Communications has supplied the following data for use in its ABC system: Overhead Costs Wages and salaries Other overhead


Cancico Communications has supplied the following data for use in its ABC system: Overhead Costs Wages and salaries Other overhead costs $307,500 168,000 Total overhead costs. $475,500 Activity Cost Pool Activity Measure Total Activity Number of direct labour-hours Direct labour support Order processing Customer support Other Number of orders 600 orders Number of customers 180 customers These costs are not allocated to products or customers NA Distribution of Resource Consumption across Activity Cost Pools Direct Labour Customer Support Other Total Order Processing 40% 25% Support 15% 10% Wages and salaries 35% 10% 100% Other overhead costs 25% 40% 100% During the year, Cancico Communications completed an order for special telephone equipment for a new customer, HurnTel. This customer did not order any other products during the year. Data concerning that order follow: Selling price $215 per unit Units ordered Direct materials. Direct labour-hours 205 units $192 per unit 0.6 OLH per unit Direct labour rate $ 29 per DLH 12,585 DLHS Required: 1. Prepare a report showing the first-stage allocations of overhead costs to the activity cost pools. Direct Labour Support Order Processing Customer Support Other Totals Wages and salaries Other overhead costs Total cost $ 0 $ 0 S 10 $ S 0 ces 2. Compute the activity rates for the activity cost pools. (Round your answers to 2 decimal places.) Activity Cost Pools Activity Rate Direct labour support Order processing Customer support per DLH per order per customer 3. Prepare a report showing the overhead costs for the order from HumTel, including customer support costs, (Rount your answers to 2 decimal places.) Activity Cost Pool Activity Rate Activity ABC Cont Direct labour support S 0:00 per DLH por order per customer DLHS orders customer Order processing Customer support Tota! $ 0.00 S 0.00 S 0:00 TH 4. Prepare a report showing the customer margin for HurnTel. (Round your answers to 2 decimal places.) D Costr Direct materials Direct labour Direct labour support overhead Order processing overhoad 000 Customer support overbead 0.00 Customer margin S BEE
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