The Spurling Cleaning Brigade Company provides housecleaning services to its clients. The company uses an activity-based costing system for its overhead costs. The company has provided the following data from its activity-based costing system. Activity Cost Pool Total Cost Total Activity Cleaning $101,574 16,200 hours Job support 32,724 1,800 jobs Client support 5,472 320 clients Other 100,000 Not applicable Total $239,770 The "Other" activity cost pool consists of the costs of idle capacity and organization-sustaining costs. One particular client, the Vandal family, requested 32 jobs during the year that required a total of 192 hours of housecleaning. For this service, the client was charged $2,200. Required: a. Compute the activity rates for the activity cost pools. Round off all calculations for the nearest whole cent. b. Using the activity-based costing system, compute the customer margin for the Vandal family. Round off all calculations to the nearest whole cent. c. Assume the company decides instead to use a traditional costing system in which ALL costs are allocated to customers on the basis of cleaning hours. Compute the margin for the Vandal family. Round off all calculations to the nearest whole cent.

45 pts Question 21 The Spurling Cleaning Brigade Company provides housecleaning services to its clients. The company uses an activity-based costing system for its overhead costs. The company has provided the following data from its activity-based costing system. Total Activity Total Cost Activity Cost Pool $101,574 Cleaning 16,200 hours Job support 1,800 jobs 32,724 Client support 320 clients 5,472 Not applicable Other 100,000 $239,770 Total The "Other" activity cost pool consists of the costs of idle capacity and organization-sustaining costs One particular client, the Vandal family, requested 32 jobs during the year that required a total of 192 hours of housecleaning. For this service, the client was charged $2,200. Required: a. Compute the activity rates for the activity cost pools. Round off all calculations for the nearest whole cent b. Using the activity-based costing system, compute the customer margin for the Vandal family. Round off all calculations to the nearest whole cent. c. Assume the company decides instead to use a traditional costing system in which ALL costs are allocated to customers on the basis of cleaning hours. Compute the margin for the Vandal family. Round off all calculations to the nearest whole cent. HTMIEditora