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Columbus Company provides the following ABC costing information: Activities Total Costs Activity-cost drivers Labour $352,000 8,000 hours Gas $8,000 4,000 gallons Invoices $110,000 5,500 invoices
Columbus Company provides the following ABC costing information: Activities Total Costs Activity-cost drivers Labour $352,000 8,000 hours Gas $8,000 4,000 gallons Invoices $110,000 5,500 invoices Total costs $470,000 The above activities used by their three departments are: Lawn Department Bush Department Plowing Department Labour 3,200 hours 1,200 hours 3,600 hours Gas 1,900 gallons 900 gallons 1,200 gallons Invoices 1,500 invoices 300 invoices 3,700 invoices Required: How much of the gas cost will be assigned to the Lawn Department?
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