Green Thumb Gardening is a small gardening service that uses activity-based costing to estimate costs for pricing and other purposes.The proprietor of the company believes that costs are driven primarily by the size of customer lawns, the size of customer gardenbeds, the distance to travel to customers, and the number of customers. In addition, the costs of maintaining garden beds depends onwhether the beds are low maintenance beds (mainly ordinary trees and shrubs) or high maintenance beds (mainly flowers and exoticplants). Accordingly, the company uses the five activity cost pools listed below:Activity Cost PoolCaring for lawnCaring for garden beds-low maintenance.Caring for garden beds-high maintenanceTravel to jobsCustomer billing and serviceActivity Cost PoolCaring for lawnCaring for garden beds-low maintenance.Caring for garden beds-high maintenanceTravel to jobsCustomer billing and serviceSquare feet of low maintenance bedsSquare feet of high maintenance beds iMilesNumber of customersThe company already has completed its first stage allocations of costs and has summarized its annual costs and activity as follows:Estimated OverheadCost$ 86,600$ 39,200$ 51,300Activity Cost PoolCaring for lawnSquare feet of lawn iCaring for garden beds-low maintenanceCaring for garden beds-high maintenanceTravel to jobsCustomer billing and serviceActivity Measure$3,200$ 6,700Required:Compute the activity rate for each of the activity cost pools. (Round your answers to 2 decimal places.)Activity RateExpected Activity185,000 square feet of lawn.25,000 square feet of low maintenance beds19,000 square feet of high maintenance beds16,000 miles36 customersper square feet of lawnper square feet of low maintenance beds.per square feet of high maintenance bedsper mileper customer

Name: Green Thumb Gardening is a small gardening service that uses activity
Uploaded: 2024-03-20T06:32:49.000Z
Channel: Bartleby
Description: Green Thumb Gardening is a small gardening service that uses activity-based costing to estimate costs for pricing and other purposes.The proprietor of the company believes that costs are driven primarily by the size of customer lawns, the size of cu