Question
I posted this question earlier today and when I opened it up in my email it wasn't answered. I want to know how to do
I posted this question earlier today and when I opened it up in my email it wasn't answered. I want to know how to do it without excel.
Assigning Cost of Resources to Activities, Unbundling the General Ledger
Golding Bank provided the following data about its resources and activities for its checking account process:
Resources | Activities | Clerical Hours | |||||
Supervision | $72,000 | Processing accounts | 10,360 | ||||
Phone and supplies | 91,000 | Issuing statements | 7,000 | ||||
Salaries | 280,000 | Processing transactions | 7,840 | ||||
Computer | 30,000 | Answering customer inquiries | 2,800 | ||||
Total | $473,000 | Total | 28,000 |
- Computers are used only by the issuing (20 percent) and processing transaction (80 percent) activities.
- Phone and supplies are 70 percent customer inquiries with the other 30 percent divided equally among the remaining activities, including supervising the checking operation.
- The supervisor spends 100 percent of his time on supervision. In addition to the 28,000 clerical hours, there are 2,000 hours of supervision used (the hours used by the supervising clerks activity, which is not listed above).
Required:
1. Prepare a work distribution matrix for the five primary activities. If an answer is zero, enter "0".
Golding Bank | ||
Percentage of Time on Each Activity | ||
Activity | Supervisor | Clerks |
Supervising clerks | % | % |
Processing accounts | ||
Issuing statements | ||
Processing transactions | ||
Answering customer inquiries |
Feedback
1. A work distribution matrix simply identifies the Amount of labor consumed by each activity. The supervising ratio is given. The remaining four ratios are calculated using the clerical hrs. total processing hours
2. Calculate the cost of each activity. If required, round your answers to the nearest dollar.
Activity | Total |
Supervising clerks | $ |
Processing accounts | $ |
Issuing statements | $ |
Processing transactions | $ |
Answering customer inquiries | $ |
3. If the cost of the supervising activity is assigned to the other four activities, what is the final cost of these four primary activities? If required, round your answers to the nearest dollar.
Processing accounts | $ |
Issuing statements | $ |
Processing transactions | $ |
Answering customer inquiries | $ |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started