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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 company believes
Green Thumb Gardening is a small gardening service using activity-based 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 low-maintenance beds (mainly ordinary trees and shrubs) or high-maintenance beds (mainly flowers and exotic plants). Accordingly, the company uses the five activity cost pools listed below: The company completed its first-stage 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 2 decimal places. \begin{tabular}{|l|l|l|} \hline Activity Cost Pool & Activity Rate & \\ \hline Caring for lawn & & per square feet of lawn \\ \hline Caring for garden beds-low maintenance & & per square feet of low-maintenance beds \\ \hline Caring for garden beds-high maintenance & per square feet of high-maintenance beds \\ \hline Travel to jobs & & per mile \\ \hline Customer billing and service & per customer \\ \hline \end{tabular}
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