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A A Aa AaBbCcl AaBbCcI AaBbC Aa BbCcD AaB A- A x2 T T Normal T No Spac... Heading 1 Heading 2 Title ont Paragraph Styles 3 (7 points) Duckhorn Housecleaning provides housecleaning services to its clients. The company uses an activity-based costing system for its overhead costs. The company has provided the following data from its activity-based costing system Activity Cost Pool Cleaning Job support Client support. Other Total Total Cost $645,576 72,700 hours 129,546 20,900 110.000 $906 022 Total Activity 5,400 jobs 760 clients Not applicable The "Other" activity cost pool consists of the costs of idle capacity and organization-sustaining Costs. One particular.client, the Lumbard family, requested 31 jobs during the year that required a total of 62 hours of housecleaning. For this service, the client was charged $1,620. Required: a. Compute the activity rates (i.e., cost per unit of activity) for the activity cost pools. Round off all calculations to the nearest whole cent. b. Using the activity-based costing system, compute the customer margin for the Lumbard family. Round off all calculations to the nearest whole cent c. Assume the company decides instead to use a traditional costing system in which ALL costs are allocated to customers on the basis of cleaning hours. Compute the margin for the Lumbard family. Round off all calculations to the nearest whole cent C 0

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