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Exercise 7-2 First Stage Allocation (L07-2] SecuriCorp operates a fleet of armored cars that make scheduled pickups and deliverles in the Los Angeles area. The

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Exercise 7-2 First Stage Allocation (L07-2] SecuriCorp operates a fleet of armored cars that make scheduled pickups and deliverles in the Los Angeles area. The company is Implementing an activity-based costing system that has four activity cost pools: Travel, Pickup and Delivery. Customer Service, and Other. The activity measures are miles for the Travel cost pool, number of pickups and deliveries for the Pickup and Delivery cost pool and numberof customers for the Customer Service cost pool. The Other cost pool has no activity measure becayse Itis an organization-sustaining activity. The following costs will be assigned using the activity-based costing system Drivyf and guard wages veydele operating expense yehicle depreciation Customer representative salaries and $1,180, eee 610, 000 490, 000 s2e, eee expenses Office expenses Adninistrative expenses 38e,eee 68e,e00 Total cost $ 3,8e,000 The distribution of resource consumption across the activity cost pools is as follows Pickup Custoner and Travel Dellvery Totals Service Other Driver and guard wages Vehicle operating expense Vehicle depreciation Customer representative salaries and -set 1ees et 25 zet expenses Office expenses Adinistrative expenses sat ses Required: Complete the first stage aliocations of costs to Artvtv coct nonis 1 of 8 Prev Next> H78,9 0 The distribution of resource consumption across the activity cost pools is as follows: Pickup and Customer Totals Other Delivery Service Travel sex Driver and guard wages Vehicle ograting expense vehicle depreciation Custonery representative salaries and expertes Office expenses Adnhistrative xpenses 10e% 25% es 5% 100x 25% 15% 10% 90% sex 20% 3e% ex 35% Required: Complete the first stage allocations of costs to activity cost pools. Customer Pickup and Other Totals Delivery Service Travel Driver and guard wages Vehicle operating expense Vehicle depreciation Customer representative salaries and expenses Office expenses Administrative expenses Total cost 1 of 8 Prev Next >

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