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1. 2. The following activities occur at Greenwich Corporation, a company that manufactures a variety of products: Required: Classify each of the activities above as
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The following activities occur at Greenwich Corporation, a company that manufactures a variety of products: Required: Classify each of the activities above as either a unit-level, batch-level, product-level, or organization-sustaining activity. Level Product-level Activity a. Various individuals manage the parts inventories. b. A clerk in the factory issues purchase orders for a job. c. The personnel department trains new production workers. The factory's general manager meets with other department heads, such as marketing, to coordinate o plans Product-level e. Direct labour workers assemble products. f. Engineers design new products. 9. The materials storekeeper issues raw materials to be used in jobs. h. The maintenance department performs periodic preventative mainten nce on general-use equipment. WWWWWWWWWWWWWWWWWWWWWWwwwwwwwwwwwwwwwwwwwwwwwwwwww MobileCash Corporation operates a fleet of armoured cars that make scheduled pickups and deliveries for its customers. The company is implementing an ABC system that has four activity cost pools: Travel, Pickup and Delivery, Customer Service, and Other The activity measures are kilometers for the Travel cost pool, number of pickups and deliveries for the Pickup and Delivery cost pool, and number of customers for the Customer Service cost pool. The Other cost pool has no activity measure. The following costs will be assigned using the ABC system: $ Driver and guard wages Vehicle operating expense Vehicle depreciation Customer representative salaries and expenses office expenses Administrative expenses 840,000 270,000 150,000 180,000 40,000 340,000 Total cost $1,820,000 The distribution of resource consumption across the activity cost pools is as follows: 401 Pickup and Customer Travel Delivery Service 108 58 708 Other Driver and guard wages Vehicle operating expense Vehicle depreciation Customer representative salaries and expenses office expenses Ministrative expenses 201 Totals 1001 100 1001 200 156 350 558 403 405 1008 1008 2008 Required: References Required: Carry out the first-stage allocations of costs to activity cost pools. Travel Pickup and Delivery Customer Service Other Totals Driver and guard wages Vehicle operating expense Vehicle depreciation Customer representative salaries and expenses Office expenses Administrative expenses Total costStep by Step Solution
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