Haas & Company is an architectural firm specializing in home remodeling for private clients and new office buildings for corporate clients. Haas charges customers at a billing rate equal to 126% of the client's total job cost. A client's total job cost is a combination of (1) professional time spent on the client ($62 per hour rnet of amlarinn hour cost of employing each professional) and (2) operating overhead allocated to the client's job. Haas allocates operating overhead to jobs based on professional hours spent on the job. Haas estimates its five professionals will incur a total of 10,000 professional hours working on client jobs during the year $ Activity Transporation to clients Blueprint copying Office support Total operating overhead Activity Cost Cost Driver 9,000 Round-trip mileage to clients 36,000 Number of copies 200.000 Secretarial time 5 245.000 Total Usage by Corporate Clients 5,000 miles 500 copies 2,000 secretarial hours Total Usage by Private Clients 10,000 miles 500 copies 3.000 secretarial hours Alyse Laughlin hired Haas to design her kitchen remodeling. A total of 20 professional hours were incurred on this job. In addition, Laughlin's remodeling job required one of the professionals to travel back and forth to her house for a total of 150 miles. The blueprints had to be copied four times because Laughlin changed the plans several times. In addition, 19 hours of secretarial time were Calculate the current indirect cost allocation rate per professional hour. Calculate the total amount that would be billed to Laughlin given the current costing structure. Calculate the activity cost allocation rates that could be used to allocate operating overhead costs to client jobs. Calculate the amount that would be billed to Laughlin using ABC costing. Which type of billing system is more fair to clients? Explain