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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

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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 $22.65 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 Control Activity Measure Cleaning carpets square feet cleaned (005) Activity for the Year Travel to joba 9,500 hundred square feet Miles driven Job support 274,500 milon Number of jobs Other (organizationsuntaining costs and 1,900 Jobs idle capacity conto) None Not applicable The total cost of operating the company for the year Is $352,000 which includes the following costs Wagen $ 143,000 Cleaning supplies 24,000 Cleaning equipment depreciation 12,000 Vehicle expenses 26,000 Office expenses 66,000 President's compensation 81,000 Total cost $352,000 Resource consumption is distributed across the activities as follows: Distribution of Resource Consumption Across Activities cleaning Travel to Job Carpets Jobs Support Other Total 780 138 00 Wages 90 1001 1001 00 00 00 Cleaning supplies 1001 ON 724 01 285 Cleaning equipment depreciation ON 768 os 240 Vehicle expenses 1004 00 01 601 400 1000 of the expenses ON 0 278 730 1001 President's compendation Job support consists of receiving calls from potential customers at the home office, scheduling jobs, billing, resolving issues, and so on. 1003 Required: 1. Prepare the first stage allocation of costs to the activity cost pools. 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 400 square foot carpet-cleaning job at the Flying N Ranch-a 55-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 $90.60 (400 square feet @ $22.65 per hundred square feet). Calculate the customer margin earned on this job. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Prepare the first-stage allocation of costs to the activity cost pools. Cleaning Carpets Job Support Travel to Jobs Total Other $ 0 0 Wages Cleaning supplies Cleaning equipment depreciation Vehicle expenses Office expenses President's compensation Total cost DOOOOOO $ 0 $ 0 $ 0 $ $ Recured Required 2 > 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 400 square foot carpet-cleaning job at the Flying N Ranch-a 55-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 $90.60 (400 square feet o $22.65 per hundred square feet) . Calculate the customer margin earned on this job. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Compute the activity rates for the activity cost pools. (Round your answers to 2 decimal places.) Activity Cost Pool Activity Rate Cleaning carpets per hundred square feet Travel to jobs per mile Job support per job Help OmZb2mghmiddleware omework Saved wa 135 Cleaning supplies US 99 100% LUUS 09 Cleaning equipment depreciation OR 08 723 1001 08 Vehicle expenses 08 285 1000 08 761 ON office expenses 240 1004 08 00 601 President's compensation 401 1000 0 08 278 734 1001 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 400 square foot carpet-cleaning job at the Flying N Ranch-a 55-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 $90.60 (400 square feet @ $22.65 per hundred square feet). Calculate the customer margin earned on this job. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 The company recently completed a 400 square foot carpet-cleaning job at the Flying N Ranch-a 55-mile round-trip Journey from the company's offices in Bozeman. Compute the cost of this job using the activity-based costing system. (Round your intermediate calculations and final answer to 2 decimal places.) cost of the job Saved Hel wy Cleaning supplies Cleaning equipment depreciation Vehicle expenses office expenses President's compensation Job support consists of receiving calls from potential customers at the home office, scheduling Jobs, biling, resolving issues, and so HU 100N 723 08 O ON 04 03 764 08 00 0 08 08 600 274 00 288 249 401 731 1001 100 1000 1004 100 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 400 square foot carpet-cleaning job at the Flying N Ranch-a 55-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 $90.60 (400 square feet o $22.65 per hundred square feet). Calculate the customer margin earned on this job. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required The revenue from the Flying N Ranch was $90.60 (4 hundred square feet @ $22.65 per hundred square feet). Calculate the customer margin earned on this job. (Negative customer margins should be indicated with a minus sign. Round your intermediate calculations and final answers to 2 decimal places.) Customer margin Required

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