Gallatin Carpet Cleaning is a small, family-owned business ooperating out of Bozeman, Montana. For its services, the company has always charged a flat fee per hundred square feet of carpet cleaned. The current fee is $28 per hundred square feet. However, there is some question about whether the company is actually making any money on jobs for some customers-particularly those located on remote ranches that require considerable travel time. The owner's daughter, home for the summer from college, has suggested investigating this question using activity-based costing. After some discussion, a simple system consisting of four activity cost pools seemed to be adequate. The activity cost pools and their activity measures appear below:
No activity cost pools and their activity measures.
I'm sorry, but it seems that your question is incomplete. You mentioned activity cost pools and their activity measures, but you haven't provided any details about them. In order to help you investigate the profitability of Gallatin Carpet Cleaning for customers located on remote ranches, we need more information about the activity cost pools and their measures.
