Home Insert Page Layout Formulas Data Review View A B C D E 1 2 Number of printing jobs 3 Price per job 4 Cost of supplies per job Standard Job Special Job Total 2,400 1,200 $ 1,700 $ 2,000 $ 210 $ 310 5 Direct labor costs per job $ 170 $ 220 6 Printing machine-hours per job 10 7 Cost of printing machine operations 8 9 Setup-hours per job 10 Setup costs H Cause-and-Effect Relationship Between Allocation Base and Activity Cost 60 10 9 430 $ 1,008,000 Indirect costs of operating printing machines increase with printing machine-hours $ 781,200 Indirect setup costs increase with setup-hours $ $ 7,000 $ 35,000 $ 27,360 Indirect purchase order costs increase with number of purchase orders 42,000 Design costs are allocated to standard and special jobs based on a special study of the design department 11 Total number of purchase orders 330 12 Purchase order costs 13 14 Design costs 15 Marketing costs as a percentage of 16 revenues 17 Administration costs 4% 4% $ 259,200 $ 309,120 Demand for administrative resources increases with direct labor costs Copyright 2021 by Pearson Education, Inc.