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NeX [460]
3 years ago
7

The flowering desert hotel uses activity-based costing to determine the cost of servicing customers. There are three activity po

ols: guest check-in ($8. 50 per guest visit), room cleaning ($21. 00 per day), and room service ($3. 00 per order, not including food). Martin hemphill visited the hotel for a two-week stay. He used room service 10 times during his stay. Determine the total activity-based cost for hemphill's visit.
Business
1 answer:
Georgia [21]3 years ago
6 0

<u>Calculation of total activity-based cost for Hemphill's visit:</u>

It is given that there are three activity pools: guest check-in ($8. 50 per guest visit), room cleaning ($21. 00 per day), and room service ($3. 00 per order, not including food). Martin Hemphill visited the hotel for a two-week stay. He used room service 10 times during his stay. The cost of each activity can be calculated as follows:

Guest Check: $8.50

Room cleaning: ($21*14 days) = $294

Room service: ($3*10 times) =$30

Total Cost  = (8.5+294+30) = $332.50


Hence the total activity-based cost for Hemphill's visit is <u>$332.50</u>










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