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 $23.40 per hundred square feet. However, there is some question about whether the company is actually making any money on jobs for some customersparticularly those located on remote ranches that require considerable travel time. The owners 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 Activity Measure Square feet cleaned (00s) Miles driven Number of jobs Activity for the Year 10,000 hundred square feet 138,000 miles 2,000 jobs Other (organization-sustaining costs and idle capacity costs) Not applicable None The total cost of operating the company for the year is $353,000 which includes the following costs: $ 142,000 Wages Cleaning supplies Cleaning equipment depreciation Vehicle expenses Office expenses President's compensation 30,000 15,000 25,000 64,000 77,000 Total cost $353,000 Resource consumption is distributed across the activities as follows: Distribution of Resource Consumption Across Activities Travel Cleaning Carpets 738 Job to Jobs Other Total Support 08 100 138 14% Wages Cleaning supplies Cleaning equipment depreciation Vehicle expenses Office expenses President's compensation 1008 08 08 08 1008 698 08 0% 318 1008 08 82% 08 188 1008 08 08 58 428 1008 0% 08 318 698 1008 Required 2 Required 3 Required 1 Required 4 Prepare the first-stage allocation of costs to the activity cost pools. Cleaning Job Travel to Total Carpets Support Other Jobs Wages Cleaning supplies Cleaning equipment depreciation Vehicle expenses Office expenses President's compensation Total cost Required 2 Required 1 Required 3 Required 4 Required 1 Required 2 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 Required 3 Required 1 Required 2 Required 4 Required 1 Required 3 The company recently completed a 200 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 KRequired 2 Required 4 Required 4 Required 1 Required 2 Required 3 The revenue from the Flying N ranch was $46.80 (2 hundred square feet @ $23.40 per hundred square feet). Calculate the customer margin earned on this job. (Round your intermediate calculations and final answers to 2 decimal places.) Customer margin Required 3 Required 4