1)Assume a companys activity-based costing system included three expenses: Vehicle operating expenses, $300,000; Vehicle depreciation, $120,000; and Customer service salaries, $175,000. These costs were consumed by four activities as follows:

Travel Deliveries Customer Service Other Total

Vehicle operating expenses 45 % 40 % 10 % 5 % 100 %

Vehicle depreciation 40 % 50 % 0 % 10 % 100 %

Customer service salaries 20 % 30 % 35 % 15 % 100 %

How much of the companys total costs should not be allocated to customers when analyzing customer profitability?

2) Assume a companys activity-based costing system includes three activities. The following information is available with respect to those activities:

Activity Cost Pool Estimated Overhead Cost Expected Activity

Travel $ 149,000 100,000 miles driven

Deliveries $ 110,000 2,200 customer deliveries

Customer service $ 220,000 10,000 phone calls

What is the activity rate for the Travel activity?

Number 3,4 and 5 picture is clear.

Assume a company's activity based costing system included three expenses Vehicle operating expenses, $300,000; Vehicle depreciation, $120,000, and Customer service salaries, $175.000. These costs were consumed by four activities as follows: Customer Travel Deliveries Service 40 10 40% SON OX 20% 30% 3 Other 5% 100% 10% 100% Vehicle operating expenses Vehicle depreciation Customer service salaries How much of the company's total costs should not be allocated to customers when analyzing customer profitability? $85.000 O $35.000 O $53.250 568,259 Assume a company's activity based costing system includes three activities. The following Information is available with respect to those activities: Activity Cost Pool Travel Deliveries Customer service Estimated Overhead Cost $ 149,000 $ 110,000 $220,000 Expected Activity 100,000 miles driven 2,200 customer deliveries 10,000 phone calls What is the activity rate for the Travel activity? $1.49 per me driven $14.90 per mile driven $0.15 per mile driven $115 per mile driven Assume a company's activity-based costing system includes three activities. The following information is available with respect to those activities: Activity Cost Pool Travel Deliveries Customer service Estimated Overhead Cost $ 150,000 $ 132,000 $220,000 Expected Activity 100,000 miles driven 2,200 customer deliveries 10,000 phone calls What is the activity rate for the Deliveries activity? $50 per delivery $60 per delivery $70 per deli $80 per delivery Assume a company's activity-based costing system includes three activities with the following activity rates: Activity Cost Pool Travel Deliveries Customer service Activity Rate $ 2 per mile driven $ 50 per delivery $ 22 per phone call Two of the company's many customers include Customer A and Customer B. These two customers consumed the company's activities as follows: Travel (number of miles driven) Deliveries number of deliveries) Customer service number of phone calls) Total Expected Activity Customer A Customer B 270 250 15 5 20 12 How much cost would be assigned from the Travel activity to Customer A? $540 $135 O $60 $500 Assume a company's activity based costing system includes three activities with the following activity rates: Activity Cost Pool Travel Deliveries Customer service Activity Rate $ 2 per mile driven $ 55 per delivery $ 22 per phone call Two of the company's many customers include Customer A and Customer B. These two customers consumed the company's activities as follows: Travel (number of miles driven) Deliveries (number of deliveries) Customer service number of phone calls) Total Expected Activity Customer A Customer 300 250 15 6 20 12 How much cost would be assigned from the Deliveries activity to Customer ? O $12 $330 $830 $1160