Hollifield Corporation is conducting a time-driven activity-based costing study in its Order Fulfillment Department. The company has provided the following data to aid in that study:Hollifield CorporationOrder Fulfillment DepartmentData InputsResource Data: Number of employees 18 Average salary per employee$33,300 Weeks of employment per year 50 Minutes available per week (40 hours × 60 minutes) 2,400 Practical capacity percentage 75%?Activity Data:Processing OrdersPreparing DeliveriesHandling ReturnsMinutes per unit of the activity202648?Cost Object Data:All CustomersNumber of orders processed22,540Number of deliveries prepared15,180Number of returns handled1,540?On the Capacity Analysis report in time-driven activity-based costing, the "impact on expenses of matching
capacity with demand" would be closest to:
A. ($233,100)
B. ($259,222)
C. ($199,800)
D. ($266,400)
Answer: A
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Fill in the blank(s) with the appropriate word(s).
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