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The following data was prepared by McKinsey & Company about its costs and its activity based costing system: Costs: Wages and salaries Travel expenses Other

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The following data was prepared by McKinsey & Company about its costs and its activity based costing system: Costs: Wages and salaries Travel expenses Other expenses Total $495,000 195,000 255,000 $945,000 Distribution of resource consumption: Activity Cost Pools Working on Engagements Business Development 50% 20% Wages and salaries Travel expenses Other expenses Other 30% 20% 35% Total 100% 100% 100% 40% 25% 40% 40% Required: a. How much cost, in total, would be allocated to the Working On Engagements activity cost pool? b. How much cost, in total, would be allocated to the Business Development activity cost pool? c. How much cost, in total, would be allocated to the Other activity cost pool? Activity Cost Pool Total Cost a. Working On Engagements b. Business Development C. Other

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