Answered step by step
Verified Expert Solution
Question
1 Approved Answer
K A transportation company provides bussing. limo, and taxd service. The company charges $350 per day for bussing service $2.00 per kilometre for taxi
K A transportation company provides bussing. limo, and taxd service. The company charges $350 per day for bussing service $2.00 per kilometre for taxi orvice, and $3.50 per kilometre for limo service Two individual clients, the school board and the city government offices, use the majority of the Immo service on a contarment. Bussing services are used exclusively by the school board, and the taxi service is used almost exclusively by the general public, although the school board user the tad services when individual students have to be transported on occasion. Indirect costs are accumulated on internal records at $1.50 per kilometre for limo use $1.00 per ore for taxi use, and $195 per day for each of the twenty buses The company's costing system has tracked the following activities for the month Client School board Limo Kilometres 360 1.943 Taxi Kilometres 90 125 Average Days/Bus 19 City government n/a The previous controller at the transportation company had always estimated the indirect costs at 25% of billings. What indirers accumulated for each major client for the month under this assumption? Round to the nearest cent OA. School board $33,610.00 City government 51,762 63 OB. School board $2,022.50 Cay government $33,610.00 OC. School board $33,610.00 City govemment $1,050 55 OD School board $1.762 63 City govemment: $1,921.25 Rehaal haard 52 02 40
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