Read the following Vignette.Jean Simmons, a licensed Counsellor, provides teen counseling and executive coaching services to her clients. Jean charges a $300 fee per hour for each service. Jean uses the traditional labor-based method of allocating costs.The revenues and costs for the year are shown in the following income statement that has been prepared using direct labor-hours as the only allocation base (220 hours for teen counseling; 450 hours for executive coaching). Additionally, Jean has kept good records of the following data in case she wants to switch to Activity-Based costing.The revenues and costs for the year are shown in the following income statement that has been prepared using Activity-Based Costing to allocate expenses.Respond to the questions below. Be sure to properly cite at least one reference to support your position.How might Jean's decisions regarding pricing or dropping a service be altered if she were to allocate all overhead costs using activity-based costing?A local nonprofit charity is looking for worthy causes to support through financial grants. A primary criterion for support is financial need. Jean is thinking of applying for support for the teen counseling program. Which allocation method would give her the best chance of winning a grant? Are there any ethical implications regarding her choice?

0000'11111-T-Mobile LTE 9:28 AM 96% [:1- ( Unit 2 Discussion: Traditional... Q 1. Read the following Vignette. Jean Simmons, a licensed Counsellor, provides teen counseling and executive coaching services to her clients. Jean charges a $300 fee per hour for each service. Jean uses the traditional labor- based method of allocating costs. The revenues and costs for the year are shown in the following income statement that has been prepared using direct labor- hours as the only allocation base (220 hours for teen counseling; 450 hours for executive coaching). Teen Executive Mum Rate Counseling Coaching Tm: Revenue $86,000 $135000 $201 .000 Expenses $143.23 31.522 64.4?8 96.000 Prot W 110.52 mm Additionally, Jean has kept good records of the following data in case she wants to switch to Activity-Based costing. Activity Level Teen Executive Activity Cost Driver Counseling Coaching Providing adninistralive support ...... Number el clients 6 4 Traveling ......................... Number ol visits 100 150 Using equipment .................. Computer heurs 900 700 int 2- ~/ Q 5 Courses Calendar To Do Notifications Messages 0000'113-T-Moblle LTE 9:28 AM 96% [:1- ( Unit 2 Discussion: Traditional... Q The revenues and costs for the year are shown in the following income statement that has been prepared using Activity- Based Costing to allocate expenses. Teen Executive Account Rate Counseling Coaching Total Revenue $88,000 $135,000 $201,000 Expenses: Administrative support $4,000 24,000 16,000 40,000 Transportation 144 14,400 21 ,000 36,000 Equipment. 12.50 11,250 3,?50 20,000 Prot $43.15;! m M 2. Respond to the questions below. Be sure to properly cite at least one reference to support your position. a. How might Jean's decisions regarding pricing or dropping a service be altered if she were to allocate all overhead costs using activity-based costing? b. A local nonprofit charity is looking for worthy causes to support through financial grants. A primary criterion for support is financial need. Jean is thinking of applying for support for the teen counseling program. Which allocation method would give her the best chance of winning a grant? Are Hut 2- ~/ Q 5 Courses Calendar To Do Notifications Messages