A part of the activity analysis conducted at MVSB was identifying potential cost drivers for each major activity. The following cost drivers were chosen because they were both plausible and reliable and data were available: Amount of Cost Driver Cost Driver # of new accounts # of depo sits & withdrawals of other transactions Activity Process new Accounts 600 Process deposits & withdrawals Process other transactions 168,000 48,0000 Orthe 3,200 customers of the branch, only 410 are local businesses. The business-customer class generated 25 new accounts, 90,000 deposits and withdrawals, and 25,000 other transactions. The implementation of ABC at all branches of MVSB provided sufficient data for internal benchmarking. The following are the lowest activity costs among all branches implementing two-stage ABC systems: Activity Lowest Activity Cost per Driver Unit Open new accounts Process deposits and withdrawals $211.8S per new account per deposit or withdrawal per transaction $2.55 Process other transactions $ 3.85 Customer Class Lowest Customer Cost per Account Retail $132.80 Commercial $598.8S 1. Determine the allocated (indirect) cost per account for retail and commercial accounts. Use Exhibit 4-18 as a guide. 2. Under what conditions would benchmarking between the Maple branch of MVSB and the other branches be inappropriate? 3. What do the results of the ABC study suggest?