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Boiser Corporation is conducting a time-driven activity-based costing study in its Order Fulfillment Department. The company has provided the following data to aid in that

Boiser Corporation is conducting a time-driven activity-based costing study in its Order Fulfillment Department. The company has provided the following data to aid in that study:

Boiser Corporation
Order Fulfillment Department
Data Inputs
Resource Data:
Number of employees 17
Practical capacity per employee (in minutes) 102,000

Activity Data: Processing Orders Preparing Deliveries Handling Returns
Minutes per unit of the activity 10 28 50

All Customers
Number of orders processed 47,420
Number of deliveries prepared 31,880
Number of returns handled 860

On the Capacity Analysis report in time-driven activity-based costing, the unused capacity in minutes would be closest to:

  • 867,000 minutes

  • 324,160 minutes

  • 1,409,840 minutes

  • 595,580 minutes

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