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    Cost of wages & salaries and other overhead

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    ABC Florists uses an activity-based costing system to compute the cost of making floral bouquets and delivering same to its commercial accounts. Company personnel who earn $200,000 typically perform both tasks; other firm-wide overhead is expected to total $80,000. These costs are allocated as follows:
    Production Delivery Other

    Wages & Salaries 60% 30% 10%
    Other Overhead 50% 35% 15%

    ABC anticipates making 20,000 bouquets and 4,000 deliveries in the upcoming year. Cost of wages & salaries and other overhead that would be charged to each delivery made is:

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    https://brainmass.com/business/accounting/cost-wages-salaries-other-overhead-209339

    Solution Summary

    This provides the steps to calculate the Cost of wages & salaries and other overhead that would be charged to each delivery

    $2.19

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