Which certificate does Jenny require? Jenny is a financial planner and wants to sell fixed-income investments. For this purpose,
1 answer:
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Answer:
attached below is the table showing the first stage of allocations of cost to activity
Explanation:
The first stage of allocations of cost to activity cost pools
is calculated by :
( percentage cost of distribution ) * ( cost assigned )
1) Driver and Guards wages
Travel = 960000 * 50% = $480000
pickup and delivery = 960000 * 35% = $336000
customer service = 960000 * 10% = $96000
other = 960000 * 5% = $48000
Total = $960000
2) Vehicle operating expense
Travel = 390000 * 70% = 273000
pickup and delivery = 390000 * 5% = 19500
customer service = 390000 * 0% = 0
other = 390000 * 25% = 97500
Total = $390000
3) vehicle depreciation
Travel = 270000 * 60% = 162000
Pickup and delivery = 270000 * 15% = 40500
customer service = 270000 * 0% = 0
other = 270000 * 25% = 67500
Total = $270000
4) customer rep salaries and expenses
Travel = 300000 * 0 % = 0
pickup and delivery = 300000 * 0% = 0
customer service = 300000 * 90% = 270000
other = 300000 * 10% = 30000
Total = $300000
5) office expenses
travel = 160000 * 0% = 0
pickup and delivery = 160000 * 20% = 32000
customer service = 160000 * 30% = 48000
other = 160000 * 50% = $80000
Total = $160000
6) Administrative expenses
Travel = 460000 * 0% = 0
pickup and delivery = 460000 * 5% = 23000
customer service = 460000 * 60% = 276000
other = 460000 * 35% = 161000
total = $460000
Answer:
a. By Differential Analysis
Accept Order or Reject Order
Per Unit: Accept Order Reject Order Differential effect on income
Revenue: $ 0 $7.20 $7.20
check the attached file
