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Keilar Painting paints the interiors and exteriors of homes and commercial buildings. The company uses an activity-based costing system for its overhead costs. The company

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Keilar Painting paints the interiors and exteriors of homes and commercial buildings. The company uses an activity-based costing system for its overhead costs. The company has provided the following data concerning its activity-based costing system. Activity Cost Pool Activity Measure Annual Activity Painting overhead Square metres 10,000 square metres Job support Jobs 320 jobs Other None Not applicable The "Other" activity cost pool consists of the costs of idle capacity and organizatich-sustaining costs. The company has already finished the first stage of the allocation process in which costs were allocated to the activity cost centres. The results are listed below: Painting Job Support Other Total Painting $54,000 $42,000 $24,000 $120,000 overhead Office expense 16.000 96.000 48.000 160.000 Total $70,000 $ 138,000 $72,000 $280,000 Required: a. Compute the activity rates (i.e., cost per unit of activity) for the Painting and Job Support activity cost pools by filling in the table below. Round off all calculations to the nearest whole cent. 4 marks Painting Job Support Production overhead Office expense Total b. Prepare a report in good form of a job that involves painting 63 square metres and has direct materials and direct labour cost of $2,070. The sales revenue from this job is $3,500. 3 marks

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