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Sunland Consulting provides weekly payroll processing for a number of small businesses. Gia Sunland, the company's owner, has been using an activity-based costing system for
Sunland Consulting provides weekly payroll processing for a number of small businesses. Gia Sunland, the company's owner, has been using an activity-based costing system for several years. She used the following information in preparing this year's budget. Activity Cost Pool Setting up new employees Processing weekly payroll Weekly reporting Annual tax reporting Cost Driver Total Cost 80,000 725,075 $315,000 $180,300 Number of new employees Number of paychecks printed Number of clients Number of W-2s printed Expected Driver Volume 500 2,522,000 100 60,100 Calculate the cost rates for each activity cost pool. (Round answers to 2 decimal places, e.g. 15.25.) Cost Pool Activity Rate Setting up new employees $ Processing weekly payroll Weekly reporting Annual tax reporting ew employee /check /client W-2 Gia is preparing a proposal for a prospective client, Jason's Juice Bar. The client has 25 employees. What is the estimated cost of providing weekly payroll services to this client for the first year? (Round answers to 2 decimal places, e.g. 15.25.) Cost Pool Expected Annual Cost Setting up new employees Processing weekly payroll Weekly reporting Annual tax reporting Total
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