Business, 14.06.2021 17:30 trinitieu66

Activity-based costing for a service business Draper Bank uses activity-based costing to determine the cost of servicing customers. There are three activity pools: teller transaction processing, check processing, and ATM transaction processing. The activity rates associated with each activity pool are $3.50 per teller transaction, $0.12 per canceled check, and $0.10 per ATM transaction. Corner Cleaners Inc. had 12 teller transactions, 100 canceled checks, and 20 ATM transactions during the month. Determine the total monthly activity-based cost for Corner Cleaners Inc. during the month.
Sterling Hotel uses activity-based costing to determine the cost of servicing customers. There are three activity pools: guest check-in, room cleaning, and meal service. The activity rates associated with each activity pool are $8.00 per guest check-in, $25.00 per room cleaning, and $4.00 per served meal (not including food). Ginny Campbell visited the hotel for a 3-night stay. Campbell had three meals in the hotel during her visit. Determine the total activity-based cost for Campbell’s visit.

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Activity-based costing for a service business Draper Bank uses activity-based costing to determine...

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