What additional costs will be charged to this customer?
A law firm uses activity-based pricing. The companys activity pools are as follows:
Cost Pool Annual Estimated Cost Cost Driver Annual Driver Quantity
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Consultation 200,000 Number of consultations 100 consultations
Administrative Costs 141,000 Admin labor hours 9,600 labor hours
Client Service 89,000 Number of clients 100 clients
The firm had two consultations with this client and required 130 administrative labor hours. What additional costs will be charged to this customer?
