Not secure ! c m/hm.tpx Elite Lawn & Plowing (EL&P) is a lawn and snow plowing service with both residential and commercial clients The owner believes that the commercial sector has more growth opportunities and is considering dropping the Twenty employees worked a total of 47,000 hours last year, 30,000 on residential jobs and 17,000 on commercial jobs. Wages were $15 per hour for all work done. Any materials used are included in overhead as supplies. All overhead is allocated on the basis of labor-hours worked, which is also the basis for customer charges. Because of increased competition for commercial accounts, EL&P can charge $36 per hour for residential work, but onty $27 per hour for commercial work Required a. If overhead for the year was $121,280, what were the profits of the residential and the commercial services using labor-hours as the allocation base? (Do not round intermediate calculations.) Residential b. Overhead consists of costs of traveling to the site, using equipment (including vehicle rental), and using supplies, which can be traced as follows: Cost Driver Volume Commercial Residential 50 1,900 80,000 Cost S 17.360 33,920 70000120.000 Cost Driver Activity Traveling Using equipment Using supplies 12 3,400 Number of clients served Equipment hours Area serviced in square yards $ 121,280 Total overhead Recalculate profts for commercial and residential services based on these activity bases. (Do not round intermediate calculations.) Profit Residential O Type here to search