Question
Roediger Corporation is conducting a time-driven activity-based costing study in its Customer Service Department. The company has provided the following data to aid in that
Roediger Corporation is conducting a time-driven activity-based costing study in its Customer Service Department. The company has provided the following data to aid in that study:
| Roediger Corporation | |
|---|---|
| Customer Service Department | |
| Data Inputs | |
| Resource Data: | |
| Number of employees | 8 |
| Average salary per employee | $ 37,800 |
| Weeks of employment per year | 50 |
| Minutes available per week (40 hours 60 minutes) | 2,400 |
| Practical capacity percentage | 75% |
| Activity Data: | Processing Orders | Resolving Queries | Processing Credit Reviews |
|---|---|---|---|
| Minutes per unit of the activity | 14 | 28 | 36 |
| Cost Object Data: | Customer P | Customer Q | Customer R | All Customers |
|---|---|---|---|---|
| Number of orders processed | 30 | 21 | 9 | 12,410 |
| Number of queries resolved | 20 | 8 | 7 | 5,880 |
| Number of credit reviews processed | 0 | 1 | 1 | 500 |
On the Capacity Analysis report in time-driven activity-based costing, the impact on expenses of matching capacity with demand would be closest to:
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Financial Accounting Financial Accounting Acc 201 College Of Southern Nevada
Authors: Weygandt. Kimmel. Kieso
13th Edition
1118742966, 978-1118742969
