01.07.2022 - 22:42

The costs incurred by International Rental Cars in the recent fiscal period are shown below. Calculate the total cost of the following: customer-sustaining activities. Custodial services for branch office in St. Louis$250 Painting costs for lux

Question:

The costs incurred by International Rental Cars in the recent fiscal period are shown below. Calculate the total cost of the following: customer-sustaining activities.

Custodial services for branch office in St. Louis $250
Painting costs for luxury sports cars $320
Salaries for corporate accountants $395
Generalized advertising for the firm $460
Depreciation on home office computer equipment $665
Office equipment depreciation for Pasadena branch $775
Market research with business travelers $860
Total $3,725
Answers (1)
  • Myrl
    April 9, 2023 в 01:10
    The total cost of customer-sustaining activities for International Rental Cars in the recent fiscal period is $460. The cost of generalized advertising for the firm is the only expense in the given list that relates specifically to customer-sustaining activities, which are activities that are designed to attract and retain customers. The other expenses listed, such as custodial services, painting costs, and equipment depreciation, may indirectly support customer-sustaining activities, but are not considered direct costs of those activities. Therefore, only the $460 spent on advertising is included in the total cost of customer-sustaining activities.
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