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County Bank Had the Following Activities, Traceable Costs, and Physical

Question 52

Multiple Choice

County Bank had the following activities, traceable costs, and physical flow of driver units:  Traceable  Physical Flow of  Activities  Costs  Driver Units  Open new accounts $90,0001,000 accounts  Process deposits 36,000400,000 deposits  Process with drawals 30,000200,000 withdrawals  Process loan applications 36,000900 applications \begin{array}{lll}& \text { Traceable } & \text { Physical Flow of } \\\text { Activities } & \text { Costs } & \text { Driver Units }\\\hline\text { Open new accounts } & \$ 90,000 & 1,000 \text { accounts } \\\text { Process deposits } & 36,000 & 400,000 \text { deposits } \\\text { Process with drawals } & 30,000 & 200,000 \text { withdrawals } \\\text { Process loan applications } & 36,000 & 900 \text { applications }\end{array} The above activities are used by North County branch and South County branch:  North  South  New accounts 200400 Deposits 40,00020,000 With drawals 15,00018,000 Loan applications 100160\begin{array} { l l l } & \text { North } & \text { South } \\\text { New accounts } & 200 & 400 \\\text { Deposits } & 40,000 & 20,000 \\\text { With drawals } & 15,000 & 18,000 \\\text { Loan applications } & 100 & 160\end{array} The cost per driver unit for the loan application activity is:


A) $90.00
B) $0.15
C) $40.00
D) $0.09

Correct Answer:

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