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Green Thumb, Inc., provides lawn care and landscaping services to commercial clients. Green Thumb uses activity-based costing to bid on jobs and to evaluate their profitability. Green Thumb reports the following annual costs: E: (Click the icon to view annual costs.) Vista Office Park, a new development in a nearby community, has contacted Green Thumb to provide an estimate on landscape design and annual lawn maintenance. The job is estimated to require a single landscape design requiring 40 design hours in total and 250 direct labor-hours annually. Green Thumb has a policy of pricing estimates at 150% of allocated cost. John Gibson, controller of Green Thumb, has established four activity costs pools and estimates that Green Thumb's costs are distributed to the activity-cost pools Read the requirements. as follows: (Click the icon to view the activity cost pools and the costs associated to the activity-cost pools.) Data Table Data Table Requirements $ Activity Cost Pool Estimating jobs Lawn care Landscape design Other Activity Measure Number of job estimatess Number of direct labor-hours Number of design hours |Facility-sustaining costs that are not allocated to jobs Total Activity for the Year 250 estimates 10,000 direct labor-hours 500 design hours Not applicable Wages and salaries Depreciation Supplies 300,000 60,000 100,000 240,000 1. Allocate Green Thumb's costs to the activity-cost pools and determine the activity rate for each pool. 2. Estimate total cost for the Vista Office Park job. 3. How much should Green Thumb bid to perform the job? 4. Vista Office Park asks Green Thumb to give an estimate for providing its services for a 2-year period. What are the advantages and disadvantages for Green Thumb to provide a 2-year estimate? Other overhead 700,000 Total overhead costs He estimates that Green Thumb's costs are distributed to the activity-cost pools as follows. Print Done Print Done Estimating Jobs Lawn Care Landscape Design 15% Other 5% 70% Total 100% 100% 10% 10% Wages and salaries Depreciation Supplies Other overhead 10% 15% 0% 15% 65% 100% 50% 0% 0% 100% 100% 15% 20% Print Done Green Thumb, Inc., provides lawn care and landscaping services to commercial clients. Green Thumb uses activity-based costing to bid on jobs and to evaluate their profitability. Green Thumb reports the following annual costs: E: (Click the icon to view annual costs.) Vista Office Park, a new development in a nearby community, has contacted Green Thumb to provide an estimate on landscape design and annual lawn maintenance. The job is estimated to require a single landscape design requiring 40 design hours in total and 250 direct labor-hours annually. Green Thumb has a policy of pricing estimates at 150% of allocated cost. John Gibson, controller of Green Thumb, has established four activity costs pools and estimates that Green Thumb's costs are distributed to the activity-cost pools Read the requirements. as follows: (Click the icon to view the activity cost pools and the costs associated to the activity-cost pools.) Data Table Data Table Requirements $ Activity Cost Pool Estimating jobs Lawn care Landscape design Other Activity Measure Number of job estimatess Number of direct labor-hours Number of design hours |Facility-sustaining costs that are not allocated to jobs Total Activity for the Year 250 estimates 10,000 direct labor-hours 500 design hours Not applicable Wages and salaries Depreciation Supplies 300,000 60,000 100,000 240,000 1. Allocate Green Thumb's costs to the activity-cost pools and determine the activity rate for each pool. 2. Estimate total cost for the Vista Office Park job. 3. How much should Green Thumb bid to perform the job? 4. Vista Office Park asks Green Thumb to give an estimate for providing its services for a 2-year period. What are the advantages and disadvantages for Green Thumb to provide a 2-year estimate? Other overhead 700,000 Total overhead costs He estimates that Green Thumb's costs are distributed to the activity-cost pools as follows. Print Done Print Done Estimating Jobs Lawn Care Landscape Design 15% Other 5% 70% Total 100% 100% 10% 10% Wages and salaries Depreciation Supplies Other overhead 10% 15% 0% 15% 65% 100% 50% 0% 0% 100% 100% 15% 20% Print Done