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Middler Corporation, a manufacturer of electronics and communications systems, uses a service department charge system to charge profit centers with Computing and Communications Services (CCS)
Middler Corporation, a manufacturer of electronics and communications systems, uses a service department charge system to charge profit centers with Computing and Communications Services (CCS) service department costs. The following table identifies an abbreviated list of service categories and activity bases used by the CCS department. The table also includes some assumed cost and activity base quantity information for each service for October. CCS Service Category Help desk Network center Electronic mail Smartphone support Number of smartphones issued One of the profit centers for Middler Corporation is the Communication Systems (COMM) sector. Assume the following information for the COMM sector: Budgeted Activity Base Quantity Activity Base Number of calls Number of devices monitored Number of user accounts Budgeted Cost $136,800 601,825 47,600 108,800 3,800 9,050 5,950 8,500 The sector has 3,000 employees, of whom 60% are office employees. All the office employees have been issued a smartphone, and 80% of them have a computer on the network. . 90 percent of the employees with a computer also have an e-mail account. . The average number of help desk calls for October was 1 call per individual with a computer. . There are 290 additional printers, servers, and peripherals on the network beyond the personal computers. a. Determine the service charge rate for the four CCS service categories for October. Round your answers to two decimal places
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