Foster Florist specializes in large floral bouquets for hotels and other commercial spaces. The company has provided the following data concerning its annual overhead costs and its activity based costing system: Overhead costs: Wages and salaries$162,000 Other expenses 61,000 Total$223,000 Distribution of resource consumption: Activity Cost Pools Making Wages and salaries45%25%30%100% Other expenses30%45%25%100% The "Other" activity cost pool consists of the costs of idle capacity and organization-sustaining costs. The amount of activity for the year is as follows: Activity Cost PoolActivity Making bouquets140,308bouquets Delivery12,700deliveries What would be the total overhead cost per delivery according to the activity based costing system? In other words, what would be the overall activity rate for the deliveries activity cost pool? (Round to the nearest whole cent.)
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Foster Florist specializes in large floral bouquets for hotels and other commercial spaces. The comp...
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