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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
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 $ 53 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: Total Expected Activity Customer A Customer B Travel (number of miles driven) Deliveries (number of deliveries) 300 15 250 5 Customer service (number of phone calls) 20 12 How much total activity cost would be assigned to Customer A from the company's three activities?
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