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A Arizona Motors to compare tradition ABC.aytem with time.Darch for custoaice department and bas collected the following information abosit the department Customer service costs are

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A Arizona Motors to compare tradition ABC.aytem with time.Darch for custoaice department and bas collected the following information abosit the department Customer service costs are $50.000 per month Theoretically, the capacity for the customer service department is 25,000 minutes per month After adjusting for time off, breaks, meetings, etc., the practical capacity for the customer service department is 20.000 minutes per month Traditionally, Arizona Motors divided up customer service activities as follows: Preparing Quotes 50% Processing Credit Checks 20% Preparing Repair Orders 30% The quantity of customer service activities per month are as follows: Prepare Quotes: 500 Process Credit Checks: 100 Prepare Repair Orders: 100 After observing its workers, the customer service manager prepared the following estimates for the amount of tim should take for each activity: Prepare Quotes: 15 minutes Process Credit Checks: 30 minutes Prepare Repair Orders: 40 minutes o o What is the cost driver rate for "Prepare Quotes" using traditional ABC? $50.00 $75.00 $37.50 $30.00

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