Jennas Happy Cows Farm (JHCF)

Required:

Show all detailed computations and keep it professional! Prepare a professional memo to the Jenna to address all the following questions:

1) A listing and justification of other potential cost pools and cost drivers that could be used by JHCF, in addition to the cost pools and cost drivers listed in Table 6. Should Jenna switch to ABC at JHCF? Identify Pros and Cons of implementing ABC by Jenna.

Jennas Happy Cows Farm

Table 6: Overhead (Resource)-Consumption Cost Drivers

Activities	Activity-consumption Cost Driver
Milking	Number of bottles produced
Separating/Pasteurizing/Homogenizing	Machine Hours, Separating
Mixing	Machine Hours, Mixing
Bottling	Machine Hours, Bottling
Warehousing	Labor Hours, Warehousing
G&A	Number of Invoices
Receiving and Inspecting	Ounces
Cleaning and Repairs	Labor Hours, Clean and Repair