Solution-How much cost would be assigned from the deliveries

How much cost would be assigned from the deliveries

Assignment Help Managerial Accounting

Reference no: EM133189991

Question - Assume a company's activity-based costing system includes three activities with the following activity rates:

Activity Cost Pool	Activity Rate
Travel	$2 per mile driven
Deliveries	$70 per delivery
Customer service	$22 per phone call

Two of the company's many customers include Customer A and Customer B. These two customers consumed the company's activities as follows:

	Total Expected Activity
	Customer A	Customer B
Travel (number of miles driven)	300	250
Deliveries (number of deliveries)	15	10
Customer service (number of phone calls)	20	12

Required - How much cost would be assigned from the Deliveries activity to Customer B?

Reference no: EM133189991

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How much cost would be assigned from the deliveries

Reference no: EM133189991

Reference no: EM133189991

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