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Lindenmuth Corporation is conducting a time-driven activity-based costing study in its Order Fulfillment Department. The company has provided the following data to aid in that
Lindenmuth Corporation is conducting a time-driven activity-based costing study in its Order Fulfillment Department. The company has provided the following data to aid in that study: Lindenmuth Corporation Order Fulfillment Department Data Inputs Resource Data: Number of employees Average salary per employee Weeks of employment per year Minutes available per week (40 hours x 60 minutes) Practical capacity percentage 28 $38,400 50 2,400 80% Activity Data: Minutes per unit of the activity Processing Preparing Orders Deliveries 20 26 Handling Returns 46 Cost Object Data: Number of orders processed Number of deliveries prepared Number of returns handled Customer A Customer B Customer C 31 19 18 10 1 1 1 On the Customer Cost Analysis report in time-driven activity-based costing, the total cost assigned to Customer would be closest to: Multiple Choice O O $248.00 O $453.60 o $18.40 o $187.20
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