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Question 2 Not yet answered Espinoza Company is a wholesale distributor that uses activity-based costing for all of its overhead costs. The company has provided
Question 2 Not yet answered Espinoza Company is a wholesale distributor that uses activity-based costing for all of its overhead costs. The company has provided the following data concerning its annual overhead costs and its activity based costing system: Overhead costs Wages and salaries.... $220,000 Other expenses ......... 160,000 Total $380,000 Points out of 1.00 Flag question Distribution of resource consumption: Filling Customer Activity Cost Pools Orders Support Other Total Wages and salaries...... 35% 55% 10% 100% Other expenses .......... 65% 100% 15% 20% The "Other activity cost pool consists of the costs of idle capacity and organization-sustaining costs. The amount of activity for the year is as follows: Activity Cost Pool Activity Filling orders 4,000 orders Customer support........ 20 customers To the nearest whole dollar, how much wages and salaries cost would be allocated to a customer who made 6 orders in a year? Select one: O a. $5,745 O b. $10,650 O c. $6,166 O d. $5,325
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