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Question - Assume a company's activity-based costing system Included three expenses: Vehicle operating expenses, $300.000; Vehicle depreciation, $140,000: and Customer service salaries, $210.000. These costs were consumed by four activities as follows:
Customer
Travel
Deliveries
Service
Other
Total
Vehicle operating expenses
45%
40%
10%
5%
100%
Vehicle depreciation
50%
0%
Customer service salaries
20%
30%
35%
15%
Required - How much total cost would be allocated to the Travel activity?
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