Please help and also showcase the process/formula.

1. Assume a companys activity-based costing system included three expenses: Vehicle operating expenses, $300,000; Vehicle depreciation, $160,000; and Customer service salaries, $205,000. These costs were consumed by four activities as follows:

Customers:

Travel	Deliveries	Customer Service	Other	Total
Vehicle operating expenses	45%	40%	10%	5%	100%
Vehicle depreciation	40%	50%	0%	10%	100%
Customer service salaries	20%	30%	35%	15%	100%

How much total cost (including all three expenses) would be allocated to the Travel activity?

A.) $260,750

B.) $230,750

C.) $240,000

D.) $210,000

2. Assume a companys activity-based costing system included three expenses: Vehicle operating expenses, $300,000; Vehicle depreciation, $155,000; and Customer service salaries, $210,000. These costs were consumed by four activities as follows:

Customer:

Travel	Deliveries	Customer Service	Other	Total
Vehicle operating expenses	45%	40%	10%	5%	100%
Vehicle depreciation	40%	50%	0%	10%	100%
Customer service salaries	20%	30%	35%	15%	100%

How much of the companys total costs should not be allocated to customers when analyzing customer profitability?

A.) $74,500

B.) $42,000

C.) $62,000

D.) $85,750

3. Assume a companys activity-based costing system includes three activities with the following activity rates:

Activity Cost Pool	Activity Rate
Travel	$ 2	per mile driven
Deliveries	$ 70	per delivery
Customer service	$ 22	per phone call

Two of the companys many customers include Customer A and Customer B. These two customers consumed the companys activities as follows:

	Total Expected Activity
	Customer A	Customer B
Travel (number of miles driven)	300	250
Deliveries (number of deliveries)	15	8
Customer service (number of phone calls)	20	12

How much cost would be assigned from the Deliveries activity to Customer B?

A.) $16

B,) $560

C.) $1,060

D.) $1,620

4. Assume a companys activity-based costing system includes three activities with the following activity rates:

Activity Cost Pool	Activity Rate
Travel	$ 2	per mile driven
Deliveries	$ 56	per delivery
Customer service	$ 22	per phone call

Two of the companys many customers include Customer A and Customer B. These two customers consumed the companys activities as follows:

	Total Expected Activity
	Customer A	Customer B
Travel (number of miles driven)	300	250
Deliveries (number of deliveries)	15	5
Customer service (number of phone calls)	20	12

How much total activity cost would be assigned to Customer A from the companys three activities?

A.) $1,770

B.) $2,070

C.) $1,880

D.) $1,780

5. Assume a company manufactures only two products14,000 units of Product C and 6,000 units of Product D. It is considering implementing an activity-based costing (ABC) system that allocates all of its manufacturing overhead to three cost pools. The following additional information is available for the company as a whole and for Products C and D:

Activity Cost Pool	Activity Measure	Estimated Overhead Cost	Expected Activity
Machining	Machine-hours	$ 300,000	15,000	MH
Machine setups	Number of setups	$ 150,000	200	Setups
Product design	Number of products	$ 78,000	2	Products

Activity Measure	Product C	Product D
Machine-hours	9,000	6,000
Number of setups	50	150
Number of products	1	1

Using the ABC system, how much total overhead cost would be assigned from all of the activities to Product D?

A.) $261,500

B.) $271,500

C.) $251,500

D.) $301,500