Question 1 Process costing: university enrolments The university is exploring the possibility of outsourcing part or all of its enrolment function. This function involves three separate processes: 0 Validation, where the new student's secondary school results are sighted and the university's offer of enrolment is validated. ' Student records, where the student's study program details for the current year are entered into the student record system. 0 Fees collection, where students pay their Lmion fees and upfront course fees, if they choose to do so. The annual costs of these three processes are: Cost Validation Student Records Fees Collection Staff salaries $60,000 $40,000 $35,000 IT and other equipment insurance 10,000 25,000 20,000 Equipment insurance 1,000 2,100 2,000 Telephone 1,100 3,300 2,000 Data processing 6,300 20,000 5,200 Postage 0 1,000 6,500 Consmnables 3,000 35,000 9,000 Electricity 1,200 2,400 2,200