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Secun corp operates deel oi amoreu Cars Lidl Ilidke Screuuieu pickups aliu ueliveries II Me Los Angeles area. The company is implementing an activity-based costing
Secun corp operates deel oi amoreu Cars Lidl Ilidke Screuuieu pickups aliu ueliveries II Me Los Angeles area. The company is implementing an activity-based costing system that has four activity cost pools: Travel, Pickup and Delivery, Customer Service, and Other. The activity measures are miles for the Travel cost pool, number of pickups and deliveries for the Pickup and Delivery cost pool and number of customers for the Customer Service cost pool. The Other cost pool has no activity measure because it is an organization-sustaining activity. The following costs will be assigned using the activity-based costing system: Driver and guard wages Vehicle operating expense Vehicle depreciation Customer representative salaries and expenses Office expenses Administrative expenses Total cost $1,220,000 650,000 530,000 560,000 420,000 720,000 $4,100,000 The distribution of resource consumption across the activity cost pools is as follows: Pickup Travel 50% 708 60% and Delivery 35% 5% 15% Customer Service 108 08 0% Other 5% 25% 25% Totals 100% 100% 100% Driver and guard wages Vehicle operating expense Vehicle depreciation Custo epre ntat salaries and expenses Office expenses Administrative expenses 100% 0 % 0% 0% 0% 20% 5% 90% 308 608 108 50% 35% 100% 100% Required: Complete the first stage allocations of costs to activity cost pools. Customer Pickup and Delivery Travel Service Other Totals Driver and guard wages Vehicle operating expense Vehicle depreciation Customer representative salaries and expenses Office expenses Administrative expenses
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