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The Yancy and Betten engagements used the following resources last month: (Click the icon to view the resources used by each engagement.) (Click the icon

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The Yancy and Betten engagements used the following resources last month: (Click the icon to view the resources used by each engagement.) (Click the icon to view ABC cost allocation rates.) (Click the icon to view the background summary.) Data table More info Westbrook Inc. is a technology consulting firm focused on website development and integration of internet business applications. President Priscilla Gilardi's ear is ringing after an unpleasant call from client Joe Yancy. Yancy was irate after opening his bill for Westbrook's redesign of his company's website. Yancy said that Westbrook's major competitor, Zeta Systems, charged much lower fees to another company for which Yancy serves on the board of directors. Gilardi is puzzled for two reasons. First, she is confident that her firm knows website design and support as well as any of Westbrook's competitors. Gilardi cannot understand how Zeta Systems can undercut Westbrook's rates and still make a profit. But Zeta Systems is reputed to be very profitable. Second, just yesterday Gilardi received a call from client Bob Betten. Betten was happy with the excellent service and reasonable fees Gilardi charged him for adding a database-driven job-posting feature to his company's website. Gilardi was surprised by Betten's compliments because this was an unusual job for Westbrook that required development of complex database management and control applications, and she had felt a little uneasy accepting it. Like most consulting firms, Westbrook traces direct labour to individual engagements (jobs). Westbrook allocated indirect costs to engagements using a budgeted rate based on direct labour hours. Gilardi is happy with this system, which she has used since she established Westbrook in 1996. Gilardi expects to incur $750,000 of indirect costs this year, and she expects her firm to work 5,200 direct labour hours. Gilardi and the other systems consultants earn $365 per hour. Clients are billed at 160% of direct labour cost. Last month, Westbrook's consultants spent 115 hours on Yancy's engagement. They also spent 115 hours on Betten's engagement. and Betten engagements used the following resources last month: the icon to view the resources used by each engagement.) k the icon to view ABC cost allocation rates.) kk the icon to view the background summary.) ute the cost assigned to the Yancy engagement and to the Betten engagement using the ABC system. the operating incom Data table ent 1. Compute the oc ystem. (Round your an The Yancy and Betten engagements used the following resources last month: (Click the Icon to viow the resources used by each engagement.) (Click the icon to view ABC cost allocation ratesi) (Click the icon to view the background summary.) 1. Compute the cost assigned to the Yancy engagement and to the Betten engagement using the ABC system. 2. Compute the operating income from the Yancy engagement and from the Betten engagement using the ABC systom. Requirement 1. Compute the cost assigned to the Yancy engagement and to the Betten engagement using the ABC system. (Round your answers to the nearest whole dol

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