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Overview In the Chapter 2 lecture, I used an example of roommates in an apartment trying to fairly split a gas bill as an
Overview In the Chapter 2 lecture, I used an example of roommates in an apartment trying to fairly split a gas bill as an example of how to allocate overhead costs. Here is another scenario similar to that example: A college offers students a variety of on campus recreational activities (the college student lounge, college intramural sports, college sponsored concerts, sports team rallies, etc.) The annual cost of the activities is between $30,000 and $50,000. The Associated Student Body is trying to determine a fair way to allocate the activities costs to students in the form of fees. Directions Be sure to read all directions prior to engaging with this activity. 1. For this discussion board, I would like you to determine a way for the Associated Student Body to equitably split up the recreational activities costs (these are overhead costs) among the students. Determine what activities drive the costs (determine at least three different activities that would possibly cause the costs). Select the activity that you think has the greatest impact on the recreation costs (this would be the allocation base). Determine a unit of measure for that activity and how you would allocate the costs to a given student (this would be applying overhead costs to jobs). 2. Use the 'reply' arrow below to start your initial post. 3. In your initial post, I would expect at least a 250 word response.
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