Question
Potter? & Weasley Company had the following? activities, estimated indirect activity? costs, and allocation? bases: Activities Indirect Activity Costs Allocation Base Account inquiry? (hours) $
Potter? & Weasley Company had the following? activities, estimated indirect activity? costs, and allocation? bases: Activities Indirect Activity Costs Allocation Base Account inquiry? (hours) $ 86 comma 900 2 comma 000 Account billing? (lines) $ 52 comma 000 34 comma 000 Account verification? (accounts) $ 36 comma 250 24 comma 500 Correspondence? (letters) $ 87 comma 000 11 comma 000 Potter? & Weasley uses activity based costing. The above activities are used by Departments P and Q as? follows: Department P Department Q Account inquiry? (hours) 400 800 Account billing? (lines) ?10,000 6 comma 000 Account verification? (accounts) ?6,000 ?7,000 Correspondence? (letters) ?1,000 ?2,000 What is the cost per driver unit for the account verification? activity? (Round all answers to two decimal? places.)
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