Ch08P8-19(1) - Student Name: Class: Problem 08-19...

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Student Name: Class: Problem 08-19 Requirement 1: MERCER ASBESTOS REMOVAL COMPANY First Stage Allocation Estimating Dealing with and Job Nonroutine Job Size Setup Jobs Other Totals Wages and salaries 150,000 30,000 90,000 30,000 300,000 Disposal fees 420,000 - 280,000 - 700,000 Equipment depreciation 36,000 4,500 18,000 31,500 90,000 On-site supplies 30,000 15,000 5,000 - 50,000 Office expenses 20,000 70,000 50,000 60,000 200,000 Licensing and insurance 120,000 - 200,000 80,000 400,000 Total cost $776,000 $119,500 $643,000 $201,500 $1,740,000 Correct! Correct! Correct! Try again! Correct! Requirement 2: MERCER ASBESTOS REMOVAL COMPANY Activity Rates for Activity Cost Pools Total Activity Activity Cost Pool Total Cost Activity Rate Job size $776,000 800 $970 per thousand square feet <--Correct! Estimating and job setup $119,500 500 $239 per job <--Correct! Working on nonroutine jobs $643,000 100 $6,430 per nonroutine job <--Correct! Requirement 3:
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Ch08P8-19(1) - Student Name: Class: Problem 08-19...

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