ACC 202 Week 2 Problem 12-16,12-17 and 13-23

Apr 3rd, 2015
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ACC 202 Week 2 Problem 12-16,12-17 and 13-23

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Problem:12-16, 12-17, 13-23 Problem 12-16a.The costs incurred for the pilot and fuel are direct costs. Depreciation is an indirect cost.b.The allocation rate for the depreciation is determined as follows: CostBaseComputationAllocation RateDepreciationNo. of miles$5,500,000 25,000,000 =$0.22 per mile CostsAllocation RatexWeightof Base=Chicago toSan FranciscoChicago toNew YorkDepreciation$0.22x4,400=$ 968Depreciation 0.22x1,600=$352Pilot350300Fuel300150Total cost$1,618$802c.Other costs that may need to be allocated include maintenance, airport fees, utilities, training, and ground support. Problem 12-17a.Changes in the number of tents inspected will not affect the total fixed inspection cost so long as the number remains within the relevant range. Indeed, the number of tents does

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