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Check my work 1 Kenosha Winter Services is a small, family-owned snow-removal business. For its services, the company has always charged a flat fee per
Check my work 1 Kenosha Winter Services is a small, family-owned snow-removal business. For its services, the company has always charged a flat fee per hundred square metres of snow removal. The current fee is $11.65 per hundred square metres. However, there is some question about whether the company is actually making any money on jobs for some customers-particularly those located on more remote properties that require considerable travel time. The owner's daughter, home from school for the summer, has suggested investigating this question using ABC. After some discussion, a simple system consisting of four activity cost pools seemed to be adequate. The activity cost pools and their activity measures appear below: 48 points Rex Activity Cost Pool Snow removal Travel to jobs Job support Other (costs of idle capacity and organization-sustaining costs) Activity Measure Square metres cleaned (0) Kilometres driver Number of jobs Activity for the Year 39,390 hundred square metres 17,900 kilometres 40e jobs Print References None NA The total cost of operating the company for the year is $435,000, which includes the following costs: Wages Supplies Snow removal equipment depreciation Vehicle expenses Office expenses President's compensation Total cost $168,000 43, eae 23, eae 13,000 66, eae 92,690 $435,000 Resource consumption is distributed across the activities as follows: Check my work 1 Resource consumption is distributed across the activities as follows: 18 onts Snow Removal sex 100% 85% ex ex ex Wages Supplies Snow removal equipment depreciation Vehicle expenses Office expenses President's compensation Distribution of Resource Consumption across Activity Cost Pools Travel to Jobs Job Support Other 18% 0% 18% a % a% 15% 65% 35% as 45% 55% 3% 35% 65% Total 100% 100% 103 100% 100% 100% eBook Primul References Job support consists of receiving calls from potential customers at the home office, scheduling jobs, billing, resolving issues, and so on. Required: 1. Prepare the first-stage allocation of costs to the activity cost pools. (Do not leave any empty spaces; input a O wherever it is required.) Snow Removal Travel to Jobs Job Support Other Total $ 0 0 0 Wages Supplies Snow removal equipment depr. Vehicle expenses Office expenses President's compensation Total cost 0 0 0 $ 0 S S 0 $ 0 S S 0 $ 0 Check my work 1 2. Compute the activity rates for the activity cost pools. (Round your answers to 2 decimal places.) 48 Doints Activity Cost Pool Snow removal Travel to jobs Activity Rate per hundred square metres per kilometre per job ebook Job support T'rin: References 3. The company recently completed a 4.100-square-metre snow removal job at Hometown Hardware-a 81-kilometre round-trip journey from Kenosha's offices. Compute the cost of this job using the ABC system. (Round your answers to 2 decimal places.) ABC Cost Activity Cost Pool Snow removal Travel to jobs Job support Total S 0.00 Check my work 1 Travel to jobs Job support Total S 0.00 B oints Boca Print 4. The revenue from the Hometown Hardware job was $477.65 (4.100 square metres at $11.65 per hundred square metres). Prepare a report showing the margin from this job. (Round your answers to 2 decimal places.) References Sales Costs: Snow removal Travel to jobs Job support Product margin 0.00 0.00 $ 5. This part of the question is not part of your Connect assignment. 6. This part of the question is not part of your Connect assignment. Check my work 1 Kenosha Winter Services is a small, family-owned snow-removal business. For its services, the company has always charged a flat fee per hundred square metres of snow removal. The current fee is $11.65 per hundred square metres. However, there is some question about whether the company is actually making any money on jobs for some customers-particularly those located on more remote properties that require considerable travel time. The owner's daughter, home from school for the summer, has suggested investigating this question using ABC. After some discussion, a simple system consisting of four activity cost pools seemed to be adequate. The activity cost pools and their activity measures appear below: 48 points Rex Activity Cost Pool Snow removal Travel to jobs Job support Other (costs of idle capacity and organization-sustaining costs) Activity Measure Square metres cleaned (0) Kilometres driver Number of jobs Activity for the Year 39,390 hundred square metres 17,900 kilometres 40e jobs Print References None NA The total cost of operating the company for the year is $435,000, which includes the following costs: Wages Supplies Snow removal equipment depreciation Vehicle expenses Office expenses President's compensation Total cost $168,000 43, eae 23, eae 13,000 66, eae 92,690 $435,000 Resource consumption is distributed across the activities as follows: Check my work 1 Resource consumption is distributed across the activities as follows: 18 onts Snow Removal sex 100% 85% ex ex ex Wages Supplies Snow removal equipment depreciation Vehicle expenses Office expenses President's compensation Distribution of Resource Consumption across Activity Cost Pools Travel to Jobs Job Support Other 18% 0% 18% a % a% 15% 65% 35% as 45% 55% 3% 35% 65% Total 100% 100% 103 100% 100% 100% eBook Primul References Job support consists of receiving calls from potential customers at the home office, scheduling jobs, billing, resolving issues, and so on. Required: 1. Prepare the first-stage allocation of costs to the activity cost pools. (Do not leave any empty spaces; input a O wherever it is required.) Snow Removal Travel to Jobs Job Support Other Total $ 0 0 0 Wages Supplies Snow removal equipment depr. Vehicle expenses Office expenses President's compensation Total cost 0 0 0 $ 0 S S 0 $ 0 S S 0 $ 0 Check my work 1 2. Compute the activity rates for the activity cost pools. (Round your answers to 2 decimal places.) 48 Doints Activity Cost Pool Snow removal Travel to jobs Activity Rate per hundred square metres per kilometre per job ebook Job support T'rin: References 3. The company recently completed a 4.100-square-metre snow removal job at Hometown Hardware-a 81-kilometre round-trip journey from Kenosha's offices. Compute the cost of this job using the ABC system. (Round your answers to 2 decimal places.) ABC Cost Activity Cost Pool Snow removal Travel to jobs Job support Total S 0.00 Check my work 1 Travel to jobs Job support Total S 0.00 B oints Boca Print 4. The revenue from the Hometown Hardware job was $477.65 (4.100 square metres at $11.65 per hundred square metres). Prepare a report showing the margin from this job. (Round your answers to 2 decimal places.) References Sales Costs: Snow removal Travel to jobs Job support Product margin 0.00 0.00 $ 5. This part of the question is not part of your Connect assignment. 6. This part of the question is not part of your Connect assignment
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