WIll Rate 5 STARS

Foster Florist specializes in large floral bouquets for hotels and other commercial spaces. The company has provided the following data concerning its annual overhead costs and its activity based costing system Overhead costs: Wages and salaries Other expenses $178,000 51,000 $229,000 Total Distribution of resource consumption Activity Cost Pools Making Bouquets 45% 30% Delivery 20% 65% Other 35% 5% Total 100% 100% Wages and salaries Other expenses The "Other" activity cost pool consists of the costs of idle capacity and organization-sustaining costs The amount of activity for the year is as follows Activity Cost Pool Making bouquets Delivery Activity 46,995 bouquets 11,800 deliveries