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Gallatin Carpet Cleaning Is a small, family - owned business operating out of Bozeman, Montana. For Its services, the company nas always charged a flat

Gallatin Carpet Cleaning Is a small, family-owned business operating out of Bozeman, Montana. For Its services, the company nas always charged a flat fee per hundred square feet of carpet cleaned. The current fee is $23.75 per hundred square feet. However, there is some question about whether the company is actually making any money on jobs for some customers-particularly those located on remote ranches that require considerable travel time. The owner's daughter, home for the summer from college, has suggested investigating this question using actlvity-based costing. After some discussion, she designed a simple system consisting of four activity cost pools. The activity cost pools and thelr activity measures appear below:
Resource consumption Is distributed across the activitles as follows:
\table[[,\table[[Cleaning],[Carpets]],\table[[Trave 1],[to Jobs]],Job,Support,Other,Total],[Wages,798,14%,,0x,7x,160x
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