Vance Asbestos Removal Company removes potentially toxic asbestos insulation and related products from buildings. The company's estimator has been involved in a longsimmering dispute with the onsite work supervisors. The on-site supervisors claim that the estimator does not adequately distinguish between routine work, such as removal of asbestos insulation around heating pipes in older homes ancl nonroutine work. such as removing asbestoscontaminated ceiling plaster in industrial buildings. The onsite supervisors believe that non-routine work is far more expensive than routine work and should bear higher customer charges. The estimator sums up his position in this way: "My job is to measure the area to be clearecl of asbestos. As clirected by top management, I simply multiply the square metres by $4,100 perthoLisand square metres to determine the bid price. Since our average cost is only $3.100 per thousand square metres, that leaves enough cushion to take care of the additional costs of nonroutine work that shows Lip. Besides. it is difficult to know what is routine or not routine until you actually start tearing things apart.\" To shed light on this controversy. the company initiatecl an ABC study of all of its costs. Data from the ABC system follow: Activity Cost Pool Activity Measure Total Activity Removing asbestos Thousands of square metres 500' 000 m2 Estimating and job setup Number of jobs 250 jobs* Working on non-routine jobs Number of non-routine jobs 25 non-routine jobs Other IIcosts of idle capacity and Not applicable: these costs are not organization-sustaining costs) allocated to jobs. \" The total number ofjobs inclLicles non-routinejobs as well as routinejobs. Nonroutinejobs as well as routinejobs require estimating and setup work. Wages and salaries $ 210,000 Disposal fees 615, 000 Equipment depreciation 83, 000 On-site supplies 62, 000 Office expenses 198, 000 Licensing and insurance 382, 000 Total cost $1, 550, 000 Distribution of Resource Consumption across Activity Cost Pools Removing Estimating and Job Working on Non- Asbestos Setup routine Jobs Other Total Wages and salaries 40% 10% 35% 15% 100% Disposal fees 35% 0% 25% 0% 100% Equipment depreciation 45% 0% 40% 15% 100% On-site supplies 50% 15% 25% 10% 100% Office expenses 10% 40% 30% 20% 100% Licensing and insurance 50% 0% 45% 5% 100% Requirect 1. Perform the firststage allocation of costs to the activity cost pools. {Do not leave any empty spaces; input a It) wherever it is required.} Wages and salaries Disposal fees Equipment depreciation Onsite supplies Ofce expenses Lice rising a n d insurance 9. Compute the activity rates for the activity cost pools. [Round your answers to 2 decimal places.) Removing asbestos per thousand square metres Estimating andjob setup Working on nonro une jobs per nonroutine job 3. Using the activity rates you have computed, determine the total cost and the average cost per thousand square metres of each of the following jobs according to the ABC system: a. A routine 2,000squaremetre asbestos removaljob {Round your answers to 2 decimal places.) Total cost of the job Average cost per thousand square metres b. A routine 4,000squaremetre asbestos removal job. {Round your answers to 2 decimal places.) Total cost of the job Cost per thousand square metres c. A nonroutine 2,000squaremetre asbestos removaljob {Round your answers to 2 decimal places.) Total cost of the job Cost per thousand square metres