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Problem 11-23A (Algo) Context-sensitive nature of cost behavior classifications LO 11-1, 11-2 . Rundle Bank's start-up division establishes new branch banks. Each branch opens with

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Problem 11-23A (Algo) Context-sensitive nature of cost behavior classifications LO 11-1, 11-2 . Rundle Bank's start-up division establishes new branch banks. Each branch opens with three tellers, Totalteller cost per branch is $92,000 per year. The three tellers combined can process up to 90,000 customer transactions per year if a branch does not attaina volume of at least 60,000 transactions during its first year of operations, it is closed. If the demand for services exceeds 90,000 transactions, an additional teller is hired and the branch is transferred from the start up division to regular operations Required a. What is the relevant range of activity for new branch banks? b. Determine the amount of teller cost in total and the average teller cost per transaction for a Llanch that processes 60,000, 70,000, 80,000, or 90,000 transactions. In this case (the activity base is the number of transactions for a specific branch), is the teller cost a fixed or a variable cost? c. Determine the amount of teller cost in total and the average teller cost per branch for Rundle Bank, assuming that the start-up division operates 10,15, 20 or 25 branches. In this case (the activity base is the number of branches) is the teller cost a fixed or a variable cost? ces Complete this question by entering your answers in the tabs below. Required A Required B Required Complete this question by entering your answers in the tabs below. Required A Required e Required what is the relevant range of activity for new branch banks? (Enter the lower end of the relevant range first.) The relevant range is PLA Required B to transactions Complete this question by entering your answers in the tabs below. Required A Ryquired Required Determine the amount of teller cost in total and the average teller cost per transaction for a branch that processes 60,000, 70,000, 60,000, or 90,000 transactions. In this case (the activity base is the number of transactions for a specific branch). is the teller cost a fixed or a variable cost? (Round "Average per unit teller cost to 2 decimal places. No. of Transactions 60,000 70,000 80,000 90,000 Total teller.cost Average per unit teller cost The teller cost is a Complete this question by entering your answers in the tabs below. Required A Required Required Determine the amount of teller cost in total and the average teller cost per branch for Rundle Bank, assuming that the start-up division operates 10, 15, 20 or 25 branches. In this case (the activity base is the number of branches), is the teller cost a fixed or a variable cost? 10 15 20 25 No. of Branches Teller costs per branch Total teller cost The teller cost is a

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