Kenosha Winter Services is a small family-owned snow-removal business For its services, the company has always charged a flat fee per hundred square metres of snow removal. The current fee is $11.60 per hundred square metres. However, there is some question about whether the company is actually making any money on jobs for some customers-particularly those located on more remote properties that require considerable travel time. The owner's daughter, home from school for the summer, has suggested investigating this question using ABC. After some discussion, a simple system consisting of four activity cost pools seemed to be adequate. The activity cost pools and their activity measures appear below: Activity Measure Activity for the Year 41,385 hundred square Activity Cost Pool Snow removal Square metres cleaned metres 18,650 kilometres Travel to jobs Job support Other (costs of idle Kilometres driven Number of jobs 250 jobs capacity and organization-sustaining costs) None NA The total cost of operating the company for the year is $457,500, which includes the following costs Wages Supplies Snow removal equipment $177,000 44,500 24,500 depreciation Vehicle expenses Office expenses President's compensation 44,500 69,000 98,000 Total cost $457,500 Resource consumption is distributed across the activities as follows Distribution of Resource Consumption across Activity Cost Pools Snow Travel Job Wages Supplies Snow removal Removal to Jobs Support Other Total % 10% 0% 10% 100% 0% 0% 0% 100% 80 100% 85% 0% 0% 0% 0% 0% 15% 100% equipment depreciation Vehicle expenses Office expenses President's 65% 0% 0% 45% 35% 55% 100% 100% 0% 35% 65% 100% compensation Job support consists of receiving calls from potential customers at the home office, scheduling jobs, billing, resolving issues, and so on