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Exercise 7.8 (Algo) Computing and Interpreting Activity Rates [LO7.3] The operations vice president of Security Home Bank has been interested in investigating the efficiency of

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Exercise 7.8 (Algo) Computing and Interpreting Activity Rates [LO7.3] The operations vice president of Security Home Bank has been interested in investigating the efficiency of the bank's cperations. She has been particularly concerned about the costs of handling routine transactions at the bank and would like to compare these costs at the bank's various branches. If the branches with the most efficient operations can be identified, their methods can be studied and then replicated elsewhere. While the bank maintains meticulous records of weges and other costs, there has been no attempt thus far to show how those costs are related to the various services peovided by the bank. The operations vice prosident has asked your help in conducting an activity-based costing study of bank operations. In particular, she would like to know the cost of opening an account. the cost of processing deposits and withdrawals, and the cost of procossing other customer transactions The Westfield branch of Security Home Bark has submitted the following cost data for last yoar: Virtually all other costs of the branch-rent, depreciation, utilies, and so on-are organization-sustaining costs that cannot be meaningfully assigned to individual customer transoctions such as depositing checks. In add tion to the cost data above, the emplayees of the Wostfield branch have been interviewed concerning how their time was distributed last year across the activities included in the activity based costing study, The results of those intervicws appear below: meaningfully assigned to individual customer transactions such as depositing checks. In addition to the cost data above, the employees of the Westfield branch have been interviewed concerning how their time was distributed last year across the activities included in the activity based costing study. The results of those interviews appear below The manager of the Westlield branch of Secunty Home Bank has provided the following data concerning the transactions of the branch during the past year: Required: 1. Compute the activity rates for the activity-based costing system. (Round your answers to 2 decimal places.)

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