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Problem 5-49 Account Analysis (LO 5-3) The accounting department of a large limousine company is analyzing the costs of its services. The cost data and
Problem 5-49 Account Analysis (LO 5-3) The accounting department of a large limousine company is analyzing the costs of its services. The cost data and level of activity for the past 16 months follow Month Special Analyses Customer Paychecks Accounts Processed 1,040 910 900 1,130 1.020 290 200 260 250 800 290 1.150 270 270 Accounting Service Casts S 60.000 58.500 58,000 61.900 59,600 61.100 61.500 58.400 61,400 60.400 58.000 61,600 59.320 61.700 58,800 60.300 S960.500 240 330 190 1,290 1,090 980 a30 870 920 810 a20 15,430 280 260 300 Totals 27 4.210 In addition to the above information, you leam that the accounting department had the following total costs for the past 16 months for each of the following: Total cost of paychecks processed Total cost of maintaining customer accounts Total cost of performing special analyses Total fixed costs (total for 16 months) Total costs $ 175.902 130,510 105.570 548.518 $980,500 Required: 2-1. What is the cost per unit for paychecks processed? (Round your answer to 2 decimal places.) Cost per unit Activity Process paychecks a-2. What is the cost per unit for customer accounts maintained? (Round your answer to 2 decimal places.) Cost per unit Activity Maintain customer accounts a-3. What is the cost per unit for special analyses performed? Activity Cost per unit Perform special analyses b. Assuming the following level of cost-driver volumes for a month, what are the accounting department's estimated costs of doing business using the account analysis approach? (Round "Unit cost" to 2 decimal places. Round "Average fixed cost to the nearest whole dollar amount.) . 920 paychecks processed. - 230 customer accounts maintained. 3 special analyses. Estimated cost
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