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Help Save & Exit Assume a service company has implemented an activity-based costing system with five activities as shown below. Activity Cost Pool (Activity Measure)

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Help Save & Exit Assume a service company has implemented an activity-based costing system with five activities as shown below. Activity Cost Pool (Activity Measure) Total Cost Total Activity Customer deliveries (Number of deliveries) $400,000 8,600 deliveries Manual order processing (Number of manual orders) $280,000 5,000 manual orders Electronic order processing (Number of electronic orders) $150,000 15,088 electronic orders Line item picking (Number of line items picked) $450,000 375,688 line items Other organization-sustaining costs (none) $300,000 The company serves numerous customers, two of which include Hospital A and Hospital B. The activity demands pertaining to these two customers are as follows Activity Activity Measure Hospital A Hospital B Number of deliveries 25 Number of manual orders 30 Number of electronic orders 15 @ Number of line itens picked 115 250 8 How much total activity cost should be assigned to Hospital A for internal management purposes

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