Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The accounts payable department of Lister company has 11 clerks; ten of the clerks are paid $35,000 per year ($350,000 total clerical salaries). The
The accounts payable department of Lister company has 11 clerks; ten of the clerks are paid $35,000 per year ($350,000 total clerical salaries). The head clerk is paid $40,000 per year. Six of the clerks spend the following percentages of time on the three activities: 30% of their time on processing payments 30% of their time matching invoices, receiving documents, and billing statements 40% of their time correcting errors in the various documents The head clerk spends 60% of her time on administrative duties and the remainder on error correction. The remaining four clerks spend 40% of their time on processing payments and the remaining 60% of their time on matching documents. Long-distance telephone costs of $2,000 are directly traced to the activity "correcting errors." Required: Complete the following: A. The total cost of the processing payments activity is $ B. The total cost of the matching documents activity is C. The total cost of the administration activity is $ D. The total cost of the "correcting errors" activity is
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started