1. a routine 1000 square foot abestos removal job

2. a routine 2000 square foot abestos removal job

3. a nonrountine 2000 square foot abestos removal job

Mercer Asbestos Removal Company removes potentially toxic asbestos insulation and related products from buildings. There has been a long-simmering dispute between the company's estimator and the work supervisors. The on-site supervisors claim that the estimators do not adequately distinguish between routine work such as removal of asbestos insulation around heating pipes in older homes and nonroutine work such as removing asbestos-contaminated ceiling plaster in industrial buildings. The on-site supervisors believe that nonroutine work is far more expensive than routine work and should bear higher customer charges. The estimator sums up his position in this way: "My job is to measure the area to be cleared of asbestos. As directed by top management, I simply multiply the square footage by $3.20 to determine the bid price. Since our average cost is only $2.75 per square foot, that leaves enough cushion to take care of the additional costs of nonroutine work that shows up. Besides, it is difficult to know what is routine or not routine until you actually start tearing things apart To shed light on this controversy, the company initiated an activity-based costing study of all of its costs. Data from the activity-based costing system follow: Activity Measure Total Activity Activity Cost Pool Removing asbestos Estimating and job setup Working on nonroutine jobs Other (costs of idle capacity and Thousands of square feet Number of jobs Number of nonroutine jobs 800 thousand square feet 500 jobs 100 nonroutine jobs organization-sustaining costs) Costs for the Year Wages and salaries Disposal fees Equipment depreciation On-site supplies Office expenses Licensing and insurance 470,000 801,000 110,000 68.000 370.000 570.000 2,389.000 Total cost Distribution of Resource Consumption Across Activities Estimating Working on Removing and Job Nonroutine Asbestos Setup Jobs Other Total 100% wages and salaries Disposal fees Equipment 60% 60% 10% 0% 20% 40% 10% 0% 100% 50% 60% 10% 15% 15% 15% 25% 0% 35% 100% 100% 100% depreciation 10% 25% 40% On-site supplies Office expenses Licensing and insurance 30% 0% 50% 20% 100% . Using the activity rates you have computed, determine the total cost and the average cost per thousand square feet of each of the following jobs according to the activity- based costing system. (Roundl the "Average cost" to 2 declmal places.)