Question 8 1a! First-stage distribution of costs for ABC Costing Finkel & Robbins PLC, a consulting rm, uses an activity-based costing in which there are three activity cost pools. The company has provided the following data concerning its costs and its activity based costing system: Costs: \"ages and salaries 315560.000 Travel expenses ......... 140.000 Other expenses .......... 160.000 Total .......................... $860 0110 Distribution of resource consumption: Activitv ("ost Pools Working On Business Engagements Development (.Dther Total Wages and salaries 40 0 30 0 30% 100% Travel expenses ......... 55% 35 0 10% 100% Other expenses .......... 15" 0 45" n 40% 100% The "Other\" activity cost pool consists of the costs of idle capacity and organization-sustaining costs that are not assigned to any activity. Required : How much cost, in total, would be allocated to the Working On Engagements activity, Business Development activity, and Other activity cost pool? (b! Second-stage allocation of ABC Costing The Coletti Cleaning Brigade Company provides housecleaning services to its clients. The company uses an activity-based costing system for its overhead costs. The company has provided the following data from its activity-based costing system. Activity ("ost Pool Total ('ost Total Activity (:'leaning ................ 3302.993 43.100 hours Job support ............. \"9,100 5,000 jobs Client support ......... 3.348 180 clients Other ....................... 150.00\" Not applicable Total ....................... 51:13:33.1 The "Other" activity cost pool consists of the costs of idle capacity and organization-sustaining costs. One particular client, the Tubman family, requested 26 jobs during the year that required a total of 104 hours of housecleaning. For this service, the client was charged $1,420. Required : a. Using the activity-based costing system, compute the customer margin for the Tubman family. Round off all calculations to the nearest whole cent. b. Assume the company decides instead to use a traditional costing system in which ALL costs are allocated to customers on the basis of cleaning hours. Compute the margin for the Tubman family. Round off all calculations to the nearest whole cent