Gallatin Carpet Cleaning is a small family-owned business operating out of Bozeman, Montana. For its services, the company has always charged a flat fee per hundred square feet of carpet cleaned. The current fee is $23.20 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 activity-based costing. After some discussion, she designed a simple system consisting of four activity cost pools. The activity cost pools and their activity measures appear below: Activity Cost Pool Cleaning carpets Travel to jobs Job support Other (organization-sustaining costs and 1dle capacity costs) Activity Measure Square feet cleaned (003) Miles driven Number of jobs Activity for the Year 13,500 hundred square feet 449,000 miles 2,100 Jobs None 25 Not applicable The total cost of operating the company for the year is $361,000 which includes the following costs: Nages cleaning supplies cleaning equipment depreciation Vehicle expenses Office expenses President's compensation Total cost $ 139,000 33,000 16.000 28,000 62,000 83,000 $361,000 Resource consumption is distributed across the activities as follows: Distribution of Resource consumption across Activities Cleaning Travel Job Carpetsto Jobs Support Wages 775 08 Cleaning supplies 100R OR 03 Cleaning equipment depreciation 675 08 OS Vehicle expenses OR 858 01 office expenses Os 01 598 President's compensation 08 01 294 120 Other 110 00 330 150 Total 1008 100N 1008 100 100 714 1008 Resource consumption is distributed across the activities as follows: Distribution of Resource Consumption Xeros activities Cleaning Travel Job Carpets to Jobs Support kages 778 128 Cleaning supplies 1000 00 ON Cleaning equipment depreciation 678 ON 03 Vehicle expenses 858 office expenses 08 00 President's compensation 08 05 Other 118 05 336 155 411 714 Total 1008 1001 1001 1008 1008 1005 01 05 598 295 08 Job support consists of receiving calls from potential customers at the home office, scheduling jobs, billing, resolving issues, and so on, Required: 1. Prepare the first stage allocation of costs to the activity cost pools 2. Compute the activity rates for the activity cost pools, 3. The company recently completed a 600 square foot carpet-cleaning Job at the Flying N Ronch-a51-mile round-trip journey from the company's offices in Bozeman Compute the cost of this job using the activity-based costing system. 4. The revenue from the Flying N Ranch was $139 20 (600 square feet a $23.20 per hundred square feet). Calculate the customer margin earned on this job. Complete this question by entering your answers in the tabs below. Prey 1 of 2 B Next > MacBook Pro DI 20 13 DOO F4 da 77 3. 5 CO 8 W R 0