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Question - Express Travel decides to price delivery service according to the results of a recent activity-based costing (ABC) study. The study indicates Express Travel should charge $16 per order, 1% of annual order value for general delivery costs, $2.50 per item, and $45 for delivery.
A year later, Express Travel collected the following information for three of its customers:
Cost driver
Customer A
Customer B
Customer C
Number of orders
18
8
12
Number of deliveries
10
24
Total number of items
2,000
4,000
12,000
Annual order value
$120,000
$80,000
$100,000
Required - What are the total delivery costs charged to Customer C during the year?
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sales revenue 40000incremental variable cost 16000nonincremental fixed cost 20000note you can assume that variable
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the management of torn corporation is considering a project that would require an initial investment of 332000 and
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