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Activities Allocated Costs Allocation Base Account inquiry (hours) $73,000 3,000 hours Account billing (lines) $36,000 20,000 lines Account verification (accounts) $18,000 21,000 accounts Correspondence (letters)
Activities Allocated Costs Allocation Base Account inquiry (hours) $73,000 3,000 hours Account billing (lines) $36,000 20,000 lines Account verification (accounts) $18,000 21,000 accounts Correspondence (letters) $14,000 1,200 letters The above activities are carried out at two of its regional offices. Activities Northeast Office Midwest Office Account inquiry (hours) 140 hours 250 hours Account billing (lines) 10,000 lines 7,000 lines Account verification (accounts) 1,100 accounts 600 accounts Correspondence (letters) 90 letters 130 letters What is the cost per hour for the account inquiry activity? (Round your answer to the nearest cent.) A. $0.86 B. $1.80 O c. $24.33 D. $11.67
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