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Help Save&Exit; Chapter 4 Homework 5 Arz Company sels two types of products, bas

ID: 2539044 • Letter: H

Question

Help Save&Exit; Chapter 4 Homework 5 Arz Company sels two types of products, basic and deluxe The company provides technical suppont for users of its products at an expected cost of $320,000 per year The company expects to process 10,000 customer service calls per year 214 t Determine the company's cost of bechnical support per customer service call 2. During the month of January Aziz neceived 620 calts for cuntomer senice on s deluxe model and 320 calls for customer service on ts besic model Assign technicoi support couts to each model using nctivity based costingAC)

Explanation / Answer

1.

2. Assign technical support costs to each model

Estimated technical support costs $320,000 = $32.00 per service call Estimated number of service calls $10,000