Ritz Company sells fine collectible statues and has implemented activity-based

Ritz Company sells fine collectible statues and has implemented activity-based
costing, Cost in the shipping department have been divided into three cost pools. The first pool costs that are related to packaging and shipping and Rand has determined that the number of boxes shipped is an appropriate cost driver for these costs. The second cost pool is made up of costs related to the final inspection of each item before it is shipped and the cost driver for this pool is the number of individual items that are inspected and shipped. The final cost pool is used for general operations and supervision of the department and the cost driver is the number of shipments. Information about the department is summarized below:
Cost Pool Total Costs Cost Driver Annual Activity
Packaging and shipping $169,700 Number of boxes shipped 24,300 boxes
Final Inspection $199,800 Number of individual items shipped 97,600 items
General operations and $80,400 Number of orders 8,300 orders
supervision
During the period, the Far East sales office generated 661 orders for a total of 6,120 items. These orders were shipped in 1,389 boxes. What is the amount of shipping department costs should be allocated to these sales?

Looking for a Similar Assignment? Order now and Get 10% Discount! Use Coupon Code "Newclient"