VaultOnWheels Corporation operates a fleet of armored cars that make scheduled pickups and deliveries for its customers in the Phoenix area. The company is implementing an activity-based

VaultOnWheels Corporation operates a fleet of armored cars that make scheduled pickups and deliveries for its customers in the Phoenix 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:

Driver and guard wages	$	1,060,000
Vehicle operating expense		490,000
Vehicle depreciation		370,000
Customer representative salaries and expenses		400,000
Office expenses		260,000
Administrative expenses		560,000
Total cost	$	3,140,000

The distribution of resource consumption across the activity cost pools is as follows:

	Travel		Pickup and Delivery		Customer Service		Other		Totals
Driver and guard wages	40	%	45	%	10	%	5	%	100	%
Vehicle operating expense	75	%	5	%	0	%	20	%	100	%
Vehicle depreciation	70	%	10	%	0	%	20	%	100	%
Customer representative salaries and expenses	0	%	0	%	85	%	15	%	100	%
Office expenses	0	%	25	%	35	%	40	%	100	%
Administrative expenses	0	%	5	%	55	%	40	%	100	%

Required:

Complete the first-stage allocations of costs to activity cost pools. (Leave no cells blank - be certain to enter "0" wherever required. Omit the "$" sign in your response.)

	Travel	Pickup and     Delivery	Customer    Service	Other	Totals
Driver and guard wages	$	$	$	$	$
Vehicle operating expense
Vehicle depreciation
Customer representative salaries and expenses
Office expenses
Administrative expenses
Total cost	$	$	$	$	$

Explanation:

Driver and guard wages:

Travel = $1,060,000 × 40% = $424,000

Pickup and Delivery = $1,060,000 × 45% = $477,000

Customer Service = $1,060,000 × 10% = $106,000

Others = $1,060,000 × 5% = $53,000

Vehicle operating expense:

Travel = $490,000 × 75% = $367,500

Pickup and Delivery = $490,000 × 5% = $24,500

Customer Service = $490,000 × 0% = $0

Others = $490,000 × 20% = $98,000

Vehicle depreciation:

Travel = $370,000 × 70% = $259,000

Pickup and Delivery = $370,000 × 10% = $37,000

Customer Service = $370,000 × 0% = $0

Others = $370,000 × 20% = $74,000

Customer representative salaries and expenses:

Travel = $400,000 × 0% = $0

Pickup and Delivery = $400,000 × 0% = $0

Customer Service = $400,000 × 85% = $340,000

Others = $400,000 × 15% = $60,000

Office expenses:

Travel = $260,000 × 0% = $0

Pickup and Delivery = $260,000 × 25% = $65,000

Customer Service = $260,000 × 35% = $91,000

Others = $260,000 × 40% = $104,000

Administrative expenses:

Travel = $560,000 × 0% = $0

Pickup and Delivery = $560,000 × 5% = $28,000

Customer Service = $560,000 × 55% = $308,000

Others = $560,000 × 40% = $224,000