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SecuriCorp operates a fleet of armored cars that make scheduled pickups and deliveries in the Los Angeles 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 $ 1,000,000
  Vehicle operating expense 430,000
  Vehicle depreciation 310,000
  Customer representative salaries and expenses 340,000
  Office expenses 200,000
  Administrative expenses 500,000
  Total cost $ 2,780,000

  

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 50 % 35 % 10 % 5 % 100 %
  Vehicle operating expense 70 % 5 % 0 % 25 % 100 %
  Vehicle depreciation 60 % 15 % 0 % 25 % 100 %
  Customer representative salaries and expenses 0 % 0 % 90 % 10 % 100 %
  Office expenses 0 % 20 % 30 % 50 % 100 %
  Administrative expenses 0 % 5 % 60 % 35 % 100 %

  

Required:

Complete the first stage allocations of costs to activity cost pools.

Pickup and Customer
Travel Delivery Service Other Totals
Driver and guard wages $0
Vehicle operating expense 0
Vehicle depreciation 0
Customer representative salaries and expenses 0
Office expenses 0
Administrative expenses 0
Total cost
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