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Forse Florist specializes in large floral bouquets for hotels and other commercial spaces. The company has provided the following data concerning its annual overhead costs
Forse Florist specializes in large floral bouquets for hotels and other commercial spaces. The company has provided the following data concerning its annual overhead costs and Its activity based costing system Overhead costs Wages and salaries 159,000 Other expenses 103,000 $262,000 Total Distribution resource consumption: Activity Cost Pools Making Bouguets Delivery 35% Other Total Wages and salaries Other expenses 50% 15% 100% 25% 45% 100% 30% The "Other" activity cost pool consists of the costs idle capacity and organization-sustaining costs The amount of activity for the year is as follows: Activity Cost Pool Activity oouguets Delivery 10 100 der What would be the total overhead cost per bouquet according to the activity besed costing system? In other words, what would be the overall activity rate for the maki ng bouquets activity cost pool? (Round your final answer to declmal places) O $2.51 O $2.59 O $2.61 O $2.66 66
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