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Green Thumb Gardening is a small gardening service using activity - based costing to estimate costs for pricing and other purposes. The owner of the
Green Thumb Gardening is a small gardening service using activitybased costing to estimate costs for pricing and other purposes.
The owner of the company believes costs are driven primarily by the size of customer lawns, the size of customer garden beds, the
distance to travel to customers, and the number of customers. In addition, the costs of maintaining garden beds depend on whether
the beds are lowmaintenance beds mainly ordinary trees and shrubs or highmaintenance beds mainly flowers and exotic plants
Accordingly, the company uses the five activity cost pools listed below:
The company completed its firststage cost allocations and summarized its annual costs and activity as follows:
Required:
Compute the activity rate for each of the activity cost pools.
Note: Round your answers to decimal places.
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