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Practice Question 54 The rate per activity is calculated for technology support, and then multiplied by the actual number of minutes of support required

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Practice Question 54 The rate per activity is calculated for technology support, and then multiplied by the actual number of minutes of support required by Tucker. E-Flix rents DVDs that are mailed out to customers upon demand. E-Flix has identified three activities involved in getting the videos to its customers. Information on those activities for the month of July follows: Cost Pools Order taking costs Technology support Picking and shipping costs Cost Drivers. Number of orders Number of minutes Number of DVDs Estimated Overhead Cost $20,592 11,700 39,624 Expected Use of Cost Drivers 187,200 orders 234,000 minutes 330,200 DVDs During July, the Tucker family placed 17 orders consisting of 21 DVDs. Tucker required 7 minutes of tech support. Customers pay $9.00 per month to rent unlimited DVDs. Using ABC, how much overhead is applied to the Tucker family account for technology support? Some other answer $0.35 $1.87 $0.05 LINK TO TEXT

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