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tatiyna
2 years ago
10

Activity-Based Costing for a Service Business Sterling Hotel uses activity-based costing to determine the cost of servicing cust

omers. There are three activity pools: guest check-in, room cleaning, and meal service. The activity rates associated with each activity pool are $8.40 per guest check-in, $21.00 per room cleaning, and $4.00 per served meal (not including food). Julie Stone visited the hotel for a 6-night stay. Julie had 3 meals in the hotel during the visit. Determine the total monthly activity-based cost for Washington during the month.
Business
1 answer:
Tatiana [17]2 years ago
3 0

Answer:

Total allocated cost= $146.4

Explanation:

Giving the following information:

Julie Stone visited the hotel for a 6-night stay.

Julie had 3 meals in the hotel during the visit.

guest check-in= $8.40 per guest check-in

room cleaning= $21.00 per room cleaning

meal service= $4.00 per served meal

<u>To allocate costs based on the activity, we need to use the following formula:</u>

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

guest check-in= 8.40*1= 8.4

room cleaning= 21.00*6= 126

meal service= 4.00*3= 12

Total allocated cost= $146.4

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3 years ago
Born and raised in India, Rashmi has always enjoyed Indian cooking. As a matter of fact, cooking was her passion and she always
My name is Ann [436]

Answer:

The answer is: Modify

Explanation:

In Rashmi´s catering business, modify refers to changing the process in order to solve problems.

Rashmi must change her recipes so that the food she sells isn´t too spicy for his potential customers. Indian food is famous for being extra spicy, but American food isn´t so she must modify it to satisfy American taste.    

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3 years ago
The monthly bank statement has to be compared with the:
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Checkbook
computer software

4 0
3 years ago
In each of the following cases, determine how much GDP and each of its components is affected, if at all:
Elanso [62]

Answer:

Follows are the solution to this question:

Explanation:

In option A, Its increase in consumption and GDP is $200.

In option B, Investment decisions increase about $1800, net exports drop by $1800 and therefore GDP should remain constant.

In option C, GDP or investment wasn’t increasing only at present because estimates were produced last year.

In option D, Market growth is $470 million, options trading is rising by $30 million but GDP is growing by $500 million.

GDP is just a misleading indicator, it does not take into account recreation, environmental protection, education and health rates, non-market behaviors, changes in wealth disparity, increases of variety or rises in innovation. HDI's social progress Index could be used to highlight a need for people or their ability to assess national growth as the supreme requirement.

5 0
3 years ago
A chemical company spent $ 530 comma 000 to produce 150 comma 000 gallons of a chemical that can be sold for $ 5.00 per gallon.
solmaris [256]

Answer:

If the company decides to process it further, it will increase operating income $68,000

Explanation:

Selling the chemical on processing,

the Sales will be = Gallons of chemical produce × Selling price per gallon

                            = 150,000 × $5

                            = $750,000

Cost of Processing the chemical = $530,000

Operating Income on selling the chemical:

= Sales -  Cost of Processing the chemical

= $750,000 - $530,000

= $220,000

Total cost incurred to process the chemical into a weed killer:

=  Cost of Processing the chemical +

= $532000 + $260,000

= $792,000

Sales of 150,000 gallons of weed killer:

= Selling price per gallon × Chemical produce

= $7.20 × 150,000 gallons

= $1,080,000

Operating income on processing to weed killer:

= Sales of 150,000 gallons of weed killer - Total cost incurred to process the chemical into a weed killer

= $1,080,000  - $792,000

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So, If the company decides to process it further, it will increase operating income by:

= Operating income on processing to weed killer - Operating Income on selling the chemical

= $288,000 - $220,000

= $68,000

5 0
3 years ago
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