SecuriCorp operates a fleet of armored cars that make scheduled pickups and deliveries in the Los Angeles area. The comp

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Securicorp Operates A Fleet Of Armored Cars That Make Scheduled Pickups And Deliveries In The Los Angeles Area The Comp 1 (42.66 KiB) Viewed 63 times

SecuriCorp operates a fleet of armored cars that make scheduled pickups and deliveries in the Los Angeles area. The company is implementing an activity-based costing system that has four activity cost pools: Travel, Pickup and Delivery, Customer Service, and Other. The activity measures are miles for the Travel cost pool, number of pickups and deliveries for the Pickup and Delivery cost pool, and number of customers for the Customer Service cost pool. The Other cost pool has no activity measure because it is an organization-sustaining activity. The following costs will be assigned using the activity-based costing system: $ 880,000 310,000 190,000 Driver and guard wages Vehicle operating expense Vehicle depreciation Customer representative salaries and expenses Office expenses Administrative expenses Total cost 220,000 80,000 380,000 $ 2,060,000 The distribution of resource consumption across the activity cost pools is as follows: Travel 50% 70% 60% Pickup and Delivery 35% 5% 15% Customer Service 10% 0% 0% Other 5% 25% 25% Totals 100% 100% 100% Driver and guard wages Vehicle operating expense Vehicle depreciation Customer representative salaries and expenses Office expenses Administrative expenses 0% 0% 0% 0% 20% 5% 90% 30% 60% 10% 50% 35% 100% 100% 100% Required: Complete the first stage allocations of costs to activity cost pools. Travel Pickup and Delivery Customer Service Other Totals 0 0 0 Driver and guard wages Vehicle operating expense Vehicle depreciation Customer representative salaries and expenses Office expenses Administrative expenses Total cost 0 0 0 $ 0 $ 0 $ 0 $ 0 $ 0